7/2/14 was up $ 0.87 and the model projects that the CME Index Component on the 7/2/14 kill will move up between 0.60 and 0.90.

The HEN4 futures are now premium to the Index by 2.87. Over the past ten years the average change in the Index from this date to expiration has been a decline of 1.49. The maximum gain occurred in 2005 when the Index advanced by 3.27. Yesterday cutouts were quite firm so demand held up well.

Yesterday I had a bearish bias and sell NNNs. Fortunately I scalped out of them putting a little money in the bank. Today I'm just not sure so I am nearly flat the NNNs and QQQs. If they spike a bunch, I may sell again, otherwise I am going to work some deferred spreads and watch the fundamentals unfold.

Best wishes,

dhm