Price Action continues to consolidate in a very tight range.

Overall the price action of the market remains fenced into a very small range.  I think most would like to see that north gate open which will put a lot of pressure on the Employment number to perform well.  However, the south gate is under pressure from uncertainty as well as falling oil prices.  The longer the Bulls and Bears are confined, pressure will continue to increase making a big move possible.  One thing is for sure; I will carefully watch both fence lines, prepared to react if one gives way.  Now is not a time to be blinded by bias.

On the Calendar

Today we get one the most watched number on the street, the Government Employment Situation Report.  The March number was a disappointing 98k but the consensus expectation today is 185k.  Although this number seems to be very inconsistent, it remains on the best gauges on the overall health of the economy.  After all, if jobs are growing, then business must be growing, and consumers must be happy and confident enough to part with their money.  The Employment Situation number comes out at 8:30 AM Eastern so any reaction to the number will be before the open.

Beginning at 11:30 we have a string of Fed speakers including Chairman Yellen at 1:30.  If they happen to utter something that the market is not expecting plan on a market reaction.  There are just over 100 companies reporting today.  I either looked at the Earnings Calendar wrong, or they made some changes because next week is now another big of reports.  Ugg!

Action Plan

Yesterday I spoke bullishly about the overall market, but the sell-off in oil left us stuck with more choppy price action.  Currently, I am still bullish holding several profitable long positions however if oil continues to slide south it obviously keeps the Bulls penned up.  The Employment Situation number could be the deciding factor today.  Friday is profit day, and I am planning to put some money in the bank.

Trade wisely,

Doug