Weekly Outlook - (04/14/2019 - 04/19/2019)

S&P had another positive week gaining 15 points or about 0.5% with up trending medium term weekly and daily cycles. So far from the last swing low, S&P is up by 123 points. The next level to target is 2929 followed by 2943. Continued positive outlook aligns with COT report as of 04/09/2019 showing renewed increase in net short VIX futures. Last week, VIX dropped again by -6.3%. For this week, outlook from short term cycles (see below chart) is continued early uptrend followed by a bit of consolidation ending mid-week and then another uptrend to end the week higher again.

S&P Cycles - 04/12/2019

For US Dollar, in last weekly report we noted a negative outlook for the week and DXY futures dropped by -0.40. However, Friday's action gave a sell signal on EURUSD and about to give a buy signal on DXY futures - for this to materialize key trend levels have to be broken on EURUSD and surpassed for DXY futures. Outlook for this week is mixed - DXY futures may show continued early gains with consolidation till mid-week and then uptrend back again should the buy signal materialize. COT report as of 04/09/2019 showed renewed increase in net long DXY (and yet another increase in net short EURO) futures contracts held by large non-commercial traders.