SHORT TERM: gap up and go Tuesday, DOW +115
Overnight the Asian markets gained 0.4%. Europe opened higher and gained 0.9%. US index futures were higher overnight, and at 8:30 export (-0.1% v 0.2%)/import (-0.1% v -0.1%) prices were reported lower. The market gapped up at the open to SPX 2265, and continued on to 2273 in the opening minutes. Then after a pullback to SPX 2265 by 10:30 the market moved even higher. At 1:30 the SPX hit 2278, then pulled back for the rest of the day to close at 2272.
For the day the SPX/DOW gained 0.60%, and the NDX/NAZ gained 1.10%. Bonds were flat, Crude ended flat, Gold slid $4, and the USD was flat. Medium term support rises to the 2270 and 2212 pivots, with resistance at the 2286 pivot. Tomorrow: retail sales and the PPI at 8:30, industrial production at 9:15, business inventories at 10am, then the FOMC rate decision at 2pm.
The market gapped up today opening at a new all-time high, rallied further, retested the open, and moved even higher. While the DOW closed in on 20K (19,954), the NDX finally exceeded the 4912 October high after much post-election selling. And, the NYSE finally made an all-time new high, although by just one point. The third wave (Minute iii) of this uptrend continues to impress. Short term support is now at the 2270 pivot and SPX 2252, with resistance at the 2286 pivot. Short term momentum was quite overbought early and ended at overbought. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: uptrend