SHORT TERM: flat opening then drift, DOW -13
Overnight the Asian markets lost 0.1%. Europe opened lower but gained 0.1%. US index futures were relatively flat overnight, and at 8:30 jobless claims were reported higher. The market opened 1-point above yesterday’s SPX 2436 close, then drifted down to 2433 by 10:30. At 10am leading indicators were reported higher. After hitting SPX 2433 the market started to drift higher. At 1pm the SPX hit 2442, held until the last hour, then dropped to end the day at 2435.
For the day the SPX/DOW lost 0.05%, and the NDX/NAZ were mixed. Bonds gained 2 ticks, Crude added 20 cents, Gold rose $4, and the USD was higher. Medium term support remains at the 2428 and 2411 pivots, with resistance at the 2444 and 2456 pivots. Tomorrow: new home sales at 10am.
The market opened 1-point higher today, dipped to SPX 2433, rallied to 2442, then ended the day at 2435. The third consecutive 10-point range, non-eventful day. We are, however, observing some potential negatives for this uptrend. If the SPX had a failed Minute iv flat at 2419, that one wave rally to 2454 could have been it for the uptrend. Adding to that possible scenario is the constant negative weekly RSI/MACD divergences, and the recent negative daily RSI/MACD divergences at that high. The NAZ has rallied in three large-scale quantified waves off of its recent 6108 low. Something it has not done during the entire Nov-Jun uptrend. This suggests the recent rally is corrective. And, the NAZ still displays negative RSI daily/weekly divergences off the recent 6342 high. Looks like it is time to again get a bit cautious short/medium term. Short term support is at the 2428 and 2411 pivots, with resistance at the 2444 and 2456 pivots. Short term momentum reached oversold at the close. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: uptrend