Wednesday update

SHORT TERM: typical bi-polar FOMC day, DOW -2

Overnight the Asian market gained 0.7%. Europe opened higher and gained 0.8%. US index futures were higher overnight, and at 8:30 Durable goods were reported lower: -4.0% v -2.2%. The market opened right at the high of the day SPX 2175, then began to pullback. At 10am Pending home sales were reported higher: 0.2% v -3.7%. The pullback continued throughout the day until right after the FED released its statement at 2pm: http://www.federalreserve.gov/newsevents/press/monetary/20160727a.htm. After putting in a quick SPX 2159 low print the market started to rally. Just past 3pm the SPX hit 2172, thn pulled back to close at 2167.

For the day the SPX/DOW lost 0.05%, and the NDX/NAZ gained 0.60%. Bonds gained 14 ticks, Crude slid 90 cents, Gold gained $21, and the USD was lower. Medium term support remains at the 2131 and 2085 pivots, with resistance at the 2177 and 2212 pivots. Today the Q2 GDP est. was lower to 2.3% v 2.4%. Tomorrow: weekly jobless claims at 8:30.

US index futures were higher overnight aided by the rally in AAPL. This apparently carried over into overseas markets. along with talk of another BOJ QE program. The SPX opened higher and then immediately sold off. Meanwhile all the foreign markets closed higher. After drifting down until the FOMC statement the SPX hit last Tuesday’s low at 2159, and then started to rally. Today marks the tenth day the SPX has remained in a 20 point, (1%), trading range. The 2177 pivot has been tough one to crack. Short term support is at the 2131 and 2085 pivots, with resistance at the 2177 and 2212 pivots. Short term momentum vacillated above and below neutral the entire day. Best to your trading!

MEDIUM TERM: uptrend

LONG TERM: uptrend

CHARTS: https://stockcharts.com/public/1269446/tenpp

About tony caldaro

Investor
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114 Responses to Wednesday update

  1. Jim Guthery says:

    Anybody have crude bottoming around 41ish?

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  2. trondack says:

    I found the FED bot!

    Get Market Status ( Bull Neutral Bear )
    If Market = Bear -> Cut 1/2
    else If Market = Bull and “Red Sea parts” -> Raise 1/4
    else -> Hold

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  3. http://lipperalpha.financial.thomsonreuters.com/2016/07/sp-500-earnings-dashboard-2/

    Thomson Reuters report as of July 26th. My previous report from 7/28 using another source is pretty darn close to Reuters. Make your own interpretation. You decide if the news is positive or negative for future growth.

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    • Current standstill is impressively long and usually has a fast breakout or breakdown. Given the good news on the domestic front and now over 50 percent of earnings out I will be betting for a breakout event early next week. Market can’t seem to find an excuse to fall here. Perhaps I am reading this wrong.

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  4. reddragonleo says:

    Every day now feels like the previous day… or maybe I’m trapped in Ground Hog Day? I think I’m starting to even look like Bill Murray now… old and tired of 14 days straight trapping in between this zone of hell. LOL

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  5. scottycj1 says:

    Dows previous ATH was 18,351…..today my CIT day—- Dow pulls back close to the previous ATH at 18,368 (missed by 17 pts) A positive close sets up buyy signals on numerous timeframes. GLA

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