SHORT TERM: new highs then pullback, DOW +8
Overnight the Asian markets gained 1.1%. Europe opened higher and gained 0.6%. US index futures were at record highs overnight, and the market opened at a new high: SPX 1808. After the opening bell the market pulled back to SPX 1804 by 10am as Pending home sales were reported lower: -0.6% v -5.6%. The market then drifted up until 2:30 when the SPX hit 1807. After that it started to pullback again. Around 3:30 the SPX hit 1801, then closed at 1802.
For the day the SPX/DOW were mixed, and the NDX/NAZ were +0.10%. Bonds gained 5 ticks, Crude slid 65 cents, Gold rose $6, and the USD was higher. Medium term support remains at the 1779 and 1699 pivots, with resistance at the 1828 and 1841 pivots. Tomorrow: Housing starts and Building permits at 8:30, Case-Shiller and the FHFA index at 9am, then Consumer confidence at 10am.
The market opened at a new all time high today, but failing to break through the SPX 1804-1810 Fibonacci range the market pulled back. This resistance range looks like it could be an important one. Negative divergences remain from the hourly MACD to the daily, weekly and monthly RSI charts. Bullishness is quite high and this is likely to be a light volume week. Lots of economic reports being squeezed into the next two days, should be interesting. If it is not boring.
Short term support remains at the 1779 pivot and SPX 1746, with resistance at SPX 1804-1810, SPX 1818 and the 1828 pivot. Short term momentum backed off to below neutral after being quite overbought this morning. The short term OEW charts remain positive with the reversal level now SPX 1797. Best to your holiday trading!
MEDIUM TERM: uptrend
LONG TERM: bull market