SHORT TERM: higher open then pullback, DOW +13
Overnight the Asian markets gained 0.5%. Europe opened higher but lost 0.1%. US index futures were higher overnight. At 8:30 Durable goods were reported higher: +0.8% v -2.8%, then at 9am Case-Shiller was reported higher: +5.4% v +5.7%. The market opened 4 points above yesterday’s SPX 2088 close and then rallied to 2097. At 10am Consumer confidence was reported lower: 94.2 v 96.2. The market then pulled back to SPX 2086 by 11am. After a rally to SPX 2093 by 12:30, the market pulled back again to 2086 by 3:30. Then the market rallied into a SPX 2092 close.
For the day the SPX/DOW were +0.15%, and the NDX/NAZ were -0.30%. Bonds lost 8 ticks, Crude rose $1.40, Gold added $5, and the USD was lower. Medium term support remains at the 2085 and 2070 pivots, with resistance at the 2131 pivot. Tomorrow: Pending home sales at 10am, then the FED’s rate decision at 2pm.
The marker opened higher today, rallied to SPX 2097, pulled back to 2086, and ended the day at 2092. From the recent SPX 2111 high it looks choppy thus far: 2081-2093-2078-2097. Possibly an extension to the uptrend if the market moves higher. Or a resumption of the pullback if the market drops below 2078. The Nasdaq closed lower for the fourth day in a row. Short term support is at the 2085 and 2070 pivots, with resistance at SPX 2104 and SPX 2116. Short term momentum hit overbought this morning, then ended the day just above neutral. FOMC days are often quite volatile!
MEDIUM TERM: uptrend
LONG TERM: bear market rally