Currently: Short Looking to: Cover @ 2,643
As of 5/22/20 close: 2,956.38
LAST WEEK: We suggested selling longs / getting short at 2,875 with stops honored on a monthly close above 2,944 and with a target of 2,643.
UPDATE: S&P futures have been propped up effectively by government stimulus and direct government buying into the risk markets. They remain elevated, but they also have yet to close on a monthly basis above the key 2,944.75 level created by the left shoulder resistance of what appears to us to be a macro head & shoulders topping formation. If this formation holds up, then we would expect a drop from current levels down to either 2,643 or 2,529.
We would look to sell longs and get short of ES futures at current levels with stops honored on a monthly close above 2,944.75 and with a downside target for covering at 2,643.