SHORT TERM: recent rally resumes, DOW +69
Overnight the Asian markets lost 0.3%. Europe opened higher and gained 0.2%. US index futures were relatively flat overnight. At 8:30 Q4 GDP was reported higher: 2.1% v 1.9%, and weekly jobless claims were reported unchanged at 258K. The market opened unchanged at SPX 2361, dipped to 2359 in the opening minutes, and then started to rally. At 11am the SPX hit 2370, pulled back to 2363 by 12:30, then turned higher again. At 2:30 the SPX retouched 2370, then dipped to close at 2368.
For the day the SPX/DOW gained 0.30%, and the NDX/NAZ gained 0.25%. Bonds lost 8 ticks, Crude rose 85 cents, Gold dropped $9, and the USD was higher. Medium term support remains at the 2336 and 2321 pivots, with resistance at the 2385 and 2411 pivots. Tomorrow: personal income/spending and the PCE at 8:30, the Chicago PMI at 9:45, then consumer sentiment at 10am.
The market opened unchanged today, dipped, and then took out Tuesday’s SPX 2364 high on its way to 2370. With the NDX making new highs, many indices improving, and Crude back over $50, it looks like Micro 5, to new highs, is underway : 2364-2353-2370. Short term support remains in the SPX 2350’s and the 2336 pivot, with resistance at the 2385 pivot and SPX 2401. Short term momentum continues to remain around overbought. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: uptrend