SHORT TERM: lower open then choppy day, DOW -32
Overnight the Asian markets gained 0.6%. Europe opened higher and gained 0.1%. US index futures were lower overnight. At 8:30 weekly jobless claims were reported lower, and the PPI was reported higher. The market opened 4-points below yesterday’s SPX 2555 close, dipped to 2549 in the opening minutes, then started to rebound. By 1:30 the SPX was back 2555. After that the market headed lower again, hitting SPX 2548 in the last hour of trading. Then the market bounced to close at SPX 2551.
For the day the SPX/DOW lost 0.15%, and the NDX/NAZ lost 0.15%. Bonds gained 5 ticks, Crude dropped 65 cents, Gold added $1, and the USD was higher. Medium term support remains at the 2525 and 2479 pivots, with resistance at the 2575 and 2594 pivots. Tomorrow: the CPI and retail sales at 8:30, then consumer sentiment and business inventories at 10am.
The market opened lower today, rebounded back to the all-time high, just like yesterday, then pulled back in the afternoon. After establishing a new ATH on Tuesday at SPX 2555, the market has hit it three more times without breaking through. Time for a pullback? Negative divergences on the SPX hourly/daily RSI, DOW hourly RSI, and NAZ daily RSI. Time for a pullback? JPM and C beat time/bottom line today but their stocks were lower. Time for pullback? I’m sure you can come up with a few others. Short term support is at the 2525 and 2479 pivots, with resistance at the 2575 and 2594 pivots. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: uptrend