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Use rally to add to hedges, as a retest of lows likely into next week

Use rally to add hedges for pullback into early next week before lows are at hand-  Eco stats largely came in under expectations this am with Personal consumption 1.5 v 2 % exptd,  GDP price index 0.4% vs .6 and Core PCE QoQ a tad lower at 2% vs 2.1.. US futures have largely followed suit to whats' happening in Europe this morning as S&P higher by 1.1% but well shy of most of the 3% gains occurring in STOXX600, DAX.. Key to note is that both European Banks and GBPUSD are rallying sharply this am, while yields are bouncing albeit from very depressed levels-  BOTTOM LINE_Tough to put much faith in this rally and even though a rally is around the corner, next week TIME WISE is more important than this week and I expect a test of lows into next week before a bigger rally, so expect that most of these yield gains will be given back into July 4 and Equities need to revisit lows again.. For today, 2011-2 important for Sept futures than 2037-40, which should be maximum area of upside before selloff into next week.. so right to use this rally to lighten up for those with 5-7 day perspective.. but over next few months, an above-avg chance of a decent rally, so for those positioning into early September.. pullbacks would be used to cut shorts and buy dips early next week following 7/4 holiday-  early gains in TWLO, MRO, LC, DKS while on downside.. RGLS, BUFF, SJI, INFI-  Let me know if you have questions

Minor bounce for S&P but little signs that this is anything more than just a 1-2 day bounce after having reclaimed 2001 yesterday-  Prices remain UNDER the area of the breakdown at 2040, and this area should prove formidable resistance on any further gains in the next day or two before pullbacks into next week, which could mark a stronger low

As can be seen the rally attempt has not even reclaimed the area of the prior breakdown, at 2040 after having given back more than 38.2% of the entire rally from Feb into June within 2 days time.  Tuesday's bounce lacks the Demark counts in place to suggest a real low and should be used to add to hedges for thoughts of revisiting and getting back under into next week

Aussie 10yr yields got down to 1.95% and in the last couple weeks, pushed back down to new all-time low territory-  Until yields can regain 2.25%, the trend is bearish for yields