SHORT TERM: market rallies, DOW +62
Overnight the Asian markets gained 0.2%. European markets opened higher and gained 0.4%. US index futures were flat to higher overnight, and the market opened higher at SPX 1460. The SPX had closed at 1457 yesterday. In the first hour of trading the SPX hit 1465, within three points of the uptrend high, then began to pullback. At 3:00 the SPX hit 1458, then bounced into a 1461 close.
For the day the SPX/DOW were +0.35%, and the NDX/NAZ were +0.40%. Bonds gained 4 ticks, Crude was flat, Gold was flat, and the USD was higher. Medium term support remains at the 1440 and 1386 pivots, with resistance at the 1499 and 1523 pivots. Tomorrow: the ECB meets before market hours, at 8:30 weekly Jobless claims, then at 10:00 Wholesale inventories.
The market opened higher today, rallied to SPX 1465, pulled back to 1458, then ended the day at 1461. The recent rally, from yesterday’s SPX 1452 low, has moved 13 points to the upside nearly retracing the entire pullback. With short term momentum rising above overbought early it does appear Minute wave iii is underway.
Short term support is at the 1440 pivot and SPX 1422/27, with resistance at SPX 1462/64 and 1471/75. Short term momentum hit overbought, then pulled back to neutral. The short term OEW charts remain positive with the swing level now SPX 1450. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: bull market