CANADA DATA: Strong May Employment Gain Eases Concerns Over Labour Softness

E-minis pointing to a positive start for Wall St. cash equity trade, although the recent pushback from Iran re: the U.S. proposals outlined in the Axios sources story has knocked e-minis away from highs (coupled with President Trump’s threats if Iran does not comply).

• S&P 500 e-minis +0.64%
• NASDA 100 e-minis +0.95%
• DJIA e-minis +0.84%
• Bulls remain in control in the S&P 500 e-mini with Fibonacci projection resistance located at 7,385.27.
• Meanwhile, bears need to break the April 29 low (7,199.50) to increase the threat to bulls.

US President Donald Trump is ‘privately concerned’ about language in the Senate-approved bipartisan housing bill requiring ‘mega-landlords to sell single-family homes built as long-term rentals after seven years,’ according to a Politico report. 

• The bill, which is currently stalled in the House, is the most significant housing reform package attempted by Congress in years. For frontline Republican lawmakers, the bill is one of the few potential wins on affordability that could be touted on the midterm campaign trail. 
• Politico writes, “Trump was on the verge of putting out a social media post taking issue with the major housing affordability package the Senate approved this year, according to two people with knowledge of the matter who were granted anonymity to discuss private conversations… He ultimately held off on sending the post out.”
• Politico continues, “Senators have been pushing the House to accept their bill without changes in order to ensure its quick passage, but Trump’s objections — which haven’t been previously reported — could give new momentum to House members who want to force amendments to the proposal.”
• Senate Majority Leader John Thune (R-SD) said on Thursday, “I think the White House wants to get it done but I think they’re going to have to really probably take some work to get the action in the House,” but declined to offer a timeline of when things might start moving.

• RES 4: 7419.25 2.000 proj of the Apr 123 - 28 - 29 price swing
• RES 3: 7400.00 Round number resistance
• RES 2: 7385.27 1.764 proj of the Apr 123 - 28 - 29 price swing 
• RES 1: 7366.25 Intraday high 
• PRICE: 7332.50 @ 14:11 BST May 6
• SUP 1: 7199.50 Low Apr 29
• SUP 2: 7098.31 20-day EMA   
• SUP 3: 6967.39 50-day EMA 
• SUP 4: 6767.00 Low Apr 13

The primary long-term uptrend in S&P E-Minis remains intact and this week’s fresh cycle highs reinforce current conditions. The move higher confirms a resumption of the primary uptrend. Sights are on 7385.27 next, a Fibonacci projection. Note that moving average studies are in a bull-mode position, a strong bullish signal that highlights a dominant uptrend. Initial key support lies at 7098.31, the 20-day EMA.