20 April premarket comment

The Euro is trading at a new 10 day high and bonds at new 40 day highs.

Oil was up 4.1% yesterday with a 4.3% range. If this is the start of another rally in Oil that takes us to new highs then the equity markets had better watch out.

The equity futures had the "feeling" of wanting to rally yesterday morning and never managed a strong push until the afternoon. I see that we are currently (03:40 ET) gap up in the equity futures.

The market "picture" IMO looks fairly clean. We had 3 trend days down. A consolodation day and then yesterday a gentle pick-up. Have we switched from a down trend to an up-trend? Is this the beginning of a day or two of rally markets? Will oil put a cap on the equity futures markets if it rallies?

Good luck trading today.