Monday update

SHORT TERM: higher open then small pullback, DOW +5

Overnight Macron, as expected, won the French election. Asian markets gained 1.0%. Europe opened lower and lost 0.3%. US index futures were flat to higher overnight, and the market opened at the all-time high of SPX 2401. Then it started to pullback. At 11:30 the SPX hit 2394, rallied to 2399 by 2pm, dipped to 2396 in the closing hour, and ended unchanged at 2399 for the day.

For the day the SPX/DOW were unchanged, and the NDX/NAZ gained 0.15%. Bonds lost 9 ticks, Crude added 25 cents, Gold slipped $3, and the USD was higher. Medium term support remains at the 2385 and 2336 pivots, with resistance at the 2411 and 2428 pivots. Tomorrow: wholesale inventories at 10am.

Today the SPX opened at its all-time high of 2401, but immediately pulled back. One could say that Minor wave 5 has now reached its minimum with the matching high. One could also say Minor 5 is just getting underway, since previous uptrends have been between 202-317 points. And this one has only rallied 79 points from its absolute downtrend low at SPX 2322. Either way a short term pullback can occur at any time. The wave count remains unchanged with three waves up from the SPX 2329 low: 2361-2345-2401. SPX 2361 remains a key level, as noted in the weekend update. Short term support remains at the 2385 pivot and SPX 2361, with resistance at SPX 2401 and the 2411 pivot. Short term momentum declined to neutral during the day. Best to your trading!

MEDIUM TERM: uptrend

LONG TERM: uptrend

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

Filed under: Updates