SHORT TERM: higher open then pullback, DOW +61
Overnight the Asian markets gained 0.6%. Europe opened lower and lost 0.3%. FED vice chair Fischer released a speech right before the open: https://www.federalreserve.gov/newsevents/speech/fischer20170731a.htm. The market opened at SPX 2477, five points above Friday’s close. Ticked up to SPX 2478, and then started to pullback. At 9:45 the Chicago PMI was reported lower, then at 10am pending home sales were reported higher. By 11am the SPX hit 2469 and then started to work its was higher. In the last hour of trading the SPX hit 2475, then dipped to close at 2470.
For the day the SPX/DOW were mixed, and the NDX/NAZ lost 0.45%. Bonds lost 2 ticks, Crude rose 55 cents, Gold added $1, and the USD was lower. Medium term support remains at the 2456 and 2444 pivots, with resistance at the 2479 and 2525 pivots. Tomorrow: personal income/spending and the CPI at 8:30; then construction spending, auto sales and ISM manufacturing by 10am.
The market opened higher today, rallied to within one point of the 2479 pivot, and then pulled back. For the past 9 trading days the market has traded within the OEW 2479 pivot range, (2472-2486), without once breaking through. Meanwhile the DOW has made all-time new highs during the last four of those trading days. The DOW is clearly supporting the general market, and the NDX/NAZ remain somewhat weak, while the SPX struggles in between. Short term counts remain unchanged, one impulsive the other corrective. SPX 2484 remains the key level upwards, and it appears SPX 2432 the key level downwards. Short term support is at the 2456 and 2444 pivots, with resistance at the 2479 and 2525 pivots. Short term momentum ended the day below neutral. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: uptrend