SHORT TERM: market makes a new uptrend high then closes mixed, DOW -20
Overnight the Asian markets closed mixed, and Europe closed mixed as well. Despite buying in the US index futures overnight and aided by a little takeover news, the market opened flat at 1395. The first push to a new high occurred at 10:30 when the SPX hit 1401. Then a small pullback to 1396 by 11:30, was followed by a gradual rise to 1403 by 3:00. The market then pulled back a few points into the close. For the day the SPX/DOW were -0.15%, and the NDX/NAZ were +0.15%. Bonds gained 11 ticks, Crude added 30 cents, Gold rose $3.50, and the Euro was higher. All together not an eventful day, as the SPX stayed within a narrow 8 point range. Support for the SPX remains at 1383 and then 1364, with resistance at 1410 and then 1438. Short term momentum continues to display a negative RSI divergence. And, the near term indicators are displaying negative divergences as well. Tomorrow the FED starts its FOMC meeting, and another consumer confidence reading will be released at 10:00. Currently the market continues to work its way into the apex of that diagonal triangle posted on friday. Best to your trading!
MEDIUM TERM: uptrend nearing resistance at the 1410 OEW pivot
LONG TERM: bear market