There is no doubt that the possibility of a rate cut, and the subsequent equity market rally, jolted markets this week of June 3, a week of concerns of a weak report for the upcoming Payrolls release on Friday. Recent comments by Federal Reserve Chairman Jerome Powell and other top officials in the central bank have colored the views of many investors. I am still looking for
1. high volatility this week in S&P, Nikkei and FANGs
2. markets to move lower, possible capitulation
3. shocking price action in S&P 500 between 2,760 and 2,660 and
4. and a more downside in FANGs new opportunities to re-establish longs
I will be updating later in the week.