SHORT TERM: another trendless day, DOW -12
Overnight the Asian markets lost 0.3%. Europe opened lower but gained 0.5%. US index futures were lower overnight, and the market opened three points below yesterday’s SPX 2186 close. Right after the open the market started to move higher, and by 10:30 hit SPX 2188. After that the market pulled back to SPX 2179 by 12:30. As the market started drifting higher again the FED’s beige book was released at 2pm: http://www.federalreserve.gov/monetarypolicy/beigebook/beigebook201609.htm. In the last hour of trading the SPX hit 2186 and closed there.
For the day the SPX/DOW lost 0.05%, and the NDX/NAZ gained 0.10%. Bonds ended flat, Crude gained 60 cents, Gold slipped $4, and the USD was higher. Medium term support remains at the 2177 and 2131 pivots, with resistance at the 2212 and 2252 pivots. Today investor sentiment was reported higher: 56.6% v 54.1%. Tomorrow: the ECB concludes its meeting, weekly jobless claims at 8:30, then consumer credit at 3pm.
The market opened lower, bounced to SPX 2188, dropped to 2179, then remained in that range for the rest of the day. While the market did make a higher high than yesterday, which is a higher high than all of last week, and it is less than 10 points from the all time high, it just doesn’t act like it is going to do anything special any time soon. Pundits have returned from summer holiday, and the market has still not changed its range bound character. In the meantime, while the US has been going sideways, foreign markets have been making gains. Beige book a non-event. ECB meeting tomorrow. Best to your trading!
MEDIUM TERM: uptrend still range bound
LONG TERM: uptrend