We're in a "Buy the Pullbacks" Mode

Follow @MrTopStep on Twitter and please share if you find our work valuable!

Our View

A trading buddy of mine thinks the ES goes down today and Tuesday, and while it could, it had a strong finish to Friday’s session and is trading higher again on Globex — in fact, it’s higher by about 20 handles right now. 

I’m 100% sure the ES will pull back, but I do not see a big drop. 

What I see is the 30 to 50-point pullbacks being bought. I doubt we blow out ES 4900 right away, but that's coming. This week has a busy earnings schedule that includes Tesla, Netflix, Intel, Visa, GE, IBM and many Dow Jones Industrial Average stocks. We also have the PCE report set for Friday — the Fed’s preferred inflation report.