SHORT TERM: trendless pre-holiday trading, DOW -54
Overnight the Asian markets gained 0.8%. Europe opened lower and lost 0.1%. US index futures were lower overnight, and at 8:30 the CPI was reported higher: +0.1% v +0.2%. The market opened two points below yesterday’s SPX 2131 close, dipped to 2127, then hit 2131 by 10:30. After a pullback to SPX 2126 by 11:30 the market rallied to SPX 2132 by 1pm during FED chair Yellen’s speech: http://www.federalreserve.gov/newsevents/speech/yellen20150522a.htm. After that the market pulled back to end the week at SPX 2126.
For the day the SPX/DOW were -0.25%, and the NDX/NAZ were mixed. Bonds lost 9 ticks, Crude dropped 80 cents, Gold slipped $1, and the USD rallied. Medium term support remains at the 2085 and 2070 pivots, with resistance at the 2131 and 2198 pivots. Today the WLEI was reported higher: 51.5% v 51.2%.
The market opened a bit lower, rallied twice over SPX 2130, then ended the week at 2126. A fairly quiet 6 point trading range day to end a narrow 15 point trading range week. With the market failing to rally over SPX 2135, and failing to drop below 2123, we remain at an inflection point. That is, until next week. Enjoy your extended weekend!
MEDIUM TERM: still an uptrend
LONG TERM: bull market