Tuesday update

SHORT TERM: higher open then quiet day, DOW +36

Overnight the Asian markets gained 0.4%. Europe opened higher and gained 0.6%. US index futures were higher overnight and the market opened 4 points above yesterday’s SPX 2388 close. In the opening minutes the SPX ticked up to 2393, then pulled back to 2386 by 10am. Around 10am monthly auto sales were reported higher: 16.9m v 16.6m. The market then rallied to SPX 2392 again by noon, dipped to 2387 by 3pm, then rose to 2391 to end the day.

For the day the SPX/DOW gained 0.15%, and the NDX/NAZ gained 0.15%. Bonds rose 9 ticks, Crude dropped $1.20, Gold was flat, and the USD was lower. Medium term support remains at the 2385 and 2336 pivots, with resistance at the 2411 and 2428 pivots. Tomorrow: the ADP at 8:15, ISM services at 10am, and the FED concludes its FOMC meeting at 2pm.

The market opened higher today, chopped around a bit, and stayed within yesterday’s SPX 2385-2394 range. We are still counting three waves up from the recent SPX 2329 low: 2361-2345-2398. The pullback from SPX 2398 – 2382 is not enough to register on the larger short term count. Nevertheless, the SPX confirmed an uptrend today and we are upgrading the charts to display Minor wave 5 is underway. We are, however, maintaining the possibility that this uptrend, like some others in this bull market, is a B wave. This will be the alternate count which will be posted in green on the hourly chart. If this is truly Minor wave 5 the SPX should start impulsing quite soon. Short term support is at the 2385 pivot and SPX 2369, with resistance at SPX 2401 and the 2411 pivot. Short term momentum ended the day around neutral. See you at the Swarm, and best to your trading!

MEDIUM TERM: uptrend

LONG TERM: uptrend

CHARTS: https://stockcharts.com/public/1269446/tenpp

Filed under: Updates