Wednesday update

SHORT TERM: higher open – new highs, DOW +66

Overnight the Asian markets gained 0.5%. Europe opened higher and gained 0.5% as well. US index futures were higher overnight, and at 8:30 both housing starts and building permits were reported higher. The market opened 4 points above yesterday’s SPX 2461 close, and continued to make new all-time highs. After a small 4 point dip after 10am, the rally continued into the afternoon. Heading into the close the SPX hit 2474 and closed there.

For the day the SPX/DOW gained 0.45%, and the NDX/NAZ gained 0.60%. Bonds slipped 2 ticks, Crude rose 70 cents, Gold dipped $1, and the USD was higher. Medium term support remains at the 2456 and 2444 pivots, with resistance at the 2479 and 2525 pivots. Tomorrow: jobless claims and the Philly FED at 8:30, then leading indicators at 10am.

The market opened at an all-time high this morning, and continued to tack on higher prices into the afternoon. Our very short-term count now displays five waves up: 2432-2413-2464-2450-2474, while our other short term count displays three waves: 2432-2413-2474. Usually they sync up at some point in time. While the SPX did enter the 2479 pivot range today, the actual pivot number is most important. If this uptrend ends before breaking through that pivot this is likely a B wave of Int. iv. If this uptrend breaks through that pivot this is likely Minute iii of Minor 5. With Opex activity on Thursday/Friday we should know before the week ends. Short term support is at the 2456 and 2444 pivots, with resistance at the 2479 and 2525 pivots. Short term momentum ended extremely overbought today. Best to your trading!

MEDIUM TERM: uptrend

LONG TERM: uptrend

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

Filed under: Updates