Thursday update

SHORT TERM: DAX/OPEX influenced gap down opening, DOW +5

Overnight the Asian markets lost 0.8%. Europe opened lower and lost 0.3%. US index futures were lower overnight as well. At 8:30 weekly jobless claims were reported lower and the Philly FED was reported higher. The market gapped down at the open for the first time since September 5th: the day the SPX hit 2447. The market opened at SPX 2551, bounced to 2556, then hit 2548 by 10am. The SPX had closed at 2561 yesterday. At 10am leading indicators were reported lower. After hitting SPX 2548 the market started to rise. The rally continued throughout the day. In the last hour of trading the SPX turned positive at 2562, and closed there.

For the day the SPX/DOW gained 0.05%, and the NDX/NAZ lost 0.30%. Bonds added 6 ticks, Crude dropped 65 cents, Gold rose $7, and the USD was lower. Medium term support remains at the 2525 and 2479 pivots, with resistance at the 2575 and 2594 pivots. Tomorrow: options expiration, plus existing home sales at 10am.

The market gapped down at the open today, dropped to SPX 2548, 16-points from yesterday’s high. Then rallied all the way back to turn positive. Looks like the Nano 3 had finally ended at SPX 2564, and Nano 4 may have ended at SPX 2548. From the Micro 2 SPX 2417 low we now have: 2455-2428-2564-2548-xxxx? Short term momentum was extremely oversold at today’s lows. New highs would now confirm Nano 5 underway aiming to complete Micro 3. Short term support is now at SPX 2548 and the 2525 pivot, with resistance at SPX 2564 and the 2575 pivot. Short term momentum rebounded from extremely oversold to above neutral. Best to your opex trading!

MEDIUM TERM: uptrend

LONG TERM: uptrend

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

Filed under: Updates