SHORT TERM: gap up opening fades, DOW +14
Overnight Scotland rejected independence. Asian markets rallied 0.7%. European markets opened much higher but faded to +0.1% at the close. The market gapped up at the opening to SPX 2018, ticked up to 2019, and then began to pullback. The SPX had closed at 2011 yesterday. At 10am Leading indicators were reported higher: +0.2% v +0.9%. The pullback continued until about 1:30 when the SPX hit 2007. Then after as a rally to SPX 2014 by 3:30 the market pulled back to close at 2011.
For the day the SPX/DOW were mixed, and the NDX/NAZ were -0.20%. Bonds gained 10 ticks, Crude slipped 20 cents, Gold dropped $7, and the USD was higher. Medium term support remains at the 1973 and 1956 pivots, with resistance at the 2019 and 2070 pivots. Last night the FED reported an increase in the Monetary base: $4.150tn v $4.084tn. Today the WLEI was reported higher: 52.1% v 51.7%.
The market gapped up at the open today, hit the 2019 pivot exactly, then pulled back to SPX 2007. The market has now rallied from SPX 1979 on Tuesday to 2019 on Friday. Quite a run in such a short period. The negative hourly divergence finally kicked in at the pivot, and it appears we just completed Minute wave i of Minor 3. Minute wave i of Minor 1 was 40 points as well. We would now like to see short term momentum get oversold to confirm. It certainly has been a wild week. Short term support is at SPX 2000 and SPX 1993, with resistance at the 2019 and 2070 pivots. Short term momentum ended the week at neutral. Best to your weekend!
MEDIUM TERM: uptrend
LONG TERM: bull market