SHORT TERM: lower open and pullback, DOW -99
Overnight the Asian markets lost 0.1%. Europe opened lower and lost 0.6%. US index futures were lower overnight, and at 9am Case-Shiller was reported lower. The market opened 4-points below yesterday’s SPX 2439 close, dipped down to 2433, and then started to bounce. At 10am consumer confidence was reported higher. By 11am the market had risen to SPX 2440, and then started to pullback. Just past 2pm the SPX hit 2424, and then tried to rally. At 12:30 FED vice chair Fischer gave a speech: https://www.federalreserve.gov/newsevents/speech/fischer20170627a.htm. The rally lasted until 2:30 when the SPX hit 2430. Then the market traded down to SPX 2419 and closed there.
For the day the SPX/DOW lost 0.65%, and the NDX/NAZ lost 1.70%. Bonds lost 18 ticks, Crude rose 85 cents, Gold rallied $4, and the USD was lower. Medium term support drops to the 2411 and 2385 pivots, with resistance at the 2428 and 2444 pivots. Tomorrow: pending home sales at 10am.
The market opened lower today, bounced to slightly positive, and then headed lower after a delay in the Senate health care bill. Around 1:30 the SPX broke below the 2431-2454 range we have been tracking, rallied back to the lower end of that range, and then headed even lower. The NDX/NAZ ran into some heavier selling as well. After weeks of choppy action it looks like the expected downtrend is underway. Short term support drops to the 2411 and 2385 pivots, with resistance at the 2428 and 2444 pivots. Short term momentum ended the day quite oversold. Best to your trading!
MEDIUM TERM: uptrend topped?
LONG TERM: uptrend