SHORT TERM: quiet options expiration, DOW -29
Overnight the Asian markets lost 0.2%. Europe opened lower and lost 0.4%. US index futures were relatively flat overnight. At 8:30 the NY FED was reported higher: 9.6 v 0.6, then at 9:15 Industrial production was reported lower: -0.6% v -0.5%. The market opened unchanged from yesterday’s close at SPX 2083. At 10am Consumer sentiment was reported lower: 89.7 v 91.0. By 10:30 the SPX had pulled back to 2078. It then bounced back to the opening level by 11:30, before heading lower again. Around 2pm the SPX hit 2076, then bounced to end the week at 2081.
For the day the SPX/DOW were -0.15%, and the NDX/NAZ were -0.20%. Bonds gained 8 ticks, Crude dropped $1.15, Gold rose $8, and the USD was lower. Medium term support remains at the 2070 and 2043 pivots, with resistance at the 2085 and 2131 pivots. Today the WLEI was reported higher: 52.5% v 51.6%, and Q1 GDPN was reported higher: +0.3% v +0.1%.
The market opened flat today on options expiration Friday. Pulled back about 5 points, rallied to unchanged, and then pulled back again. A fairly quiet two day 12-point trading range for an options expiration. Still counting three waves up from the recent SPX 2032 low: 2061-2040-2088 with possibly the 4th wave underway now. Short term support remains at the 2070 and 2043 pivots, with resistance at the 2085 pivot and SPX 2104. Short term momentum hit oversold during today’s pullback and ended around neutral. Best to your weekend!
MEDIUM TERM: uptrend
LONG TERM: bear market