SHORT TERM: market finishes mixed, DOW +15
Overnight the Asian markets ended mixed. Europe opened higher but closed mixed as well. US index futures were higher overnight, and the market opened two points above yesterday’s SPX 2000 close. That was the high for the day as the market started to pullback. The market declined to SPX 1998 by 10:30, then bounced to 2001 just as Europe was closing at 11:30. After that it went sideways until about 2:30 then started to decline further. Just past 3pm the SPX hit 1996, then rebounded to close at 2000.
For the day the SPX/DOW were +0.05%, and the NDX/NAZ were mixed. Bonds gained 7 ticks, Crude slipped 5 cents, Gold was flat, and the USD was lower. Medium term support remains at the 1973 and 1956 pivots, with resistance at the 2019 and 2070 pivots. Tomorrow: Q2 GDP (est. +4.0%) at 8:30, along with weekly Jobless claims. Then at 10am Pending home sales.
The market opened within three points of the all time high, then started to pullback in quiet trading. When Europe closed for the day the SPX was near its high, and then drifted down like it has done all week. In the last hour of trading the SPX hit 1996, and then rebounded. With the hourly RSI hitting oversold today a pullback of some degree is confirmed. But until we see an overlap of SPX 1995, we can not be sure Minor wave 3 ended at 2005. If the market makes new highs from here we would think Minor wave 3 is extending.
Short term support is at SPX 1985 and the 1973 pivot, with resistance at SPX 2005 and the 2019 pivot. Short term momentum hit oversold and then bounced to neutral. The short term OEW charts flip-flopped at the SPX 2000 level, ended neutral, with the reversal level still at 2000. Best to your trading GDP day!
MEDIUM TERM: uptrend
LONG TERM: bull market