Economic calendar8:30 AM CPI8:30 AM Core CPI9:15 AM Industrial Production9:15 AM Capacity Utilization
WEEKLY BULLS AND BEARS SENTIMENT
BULLS 38%BEARS 33%
After reports of an increase in PPI inflation readings and good retail sales numbers, the market opened slightly lower and bounced to the 1497.00 on the March E-mini S&P 500 futures just bellow our pivot number, which called for buying activity above 1498.00. The index was immediately reversed and pushed down to 1483.25. Yesterday report was calling for a short entry on early strength or on a double top or lower high formation, as the E-mini S&P 500 futures did not get to resistance we missed the move down.
The index bounced back printing a double top at 1494.00 while the E-mini Nasdaq futures rallied 10 points from its 2096.00 low, a non gusto rally. Unable to break the 1494.00 double top, the E-mini S&P 500 was sold breaking bellow the 1488.00 opening range and pushing lower to test the Globex lows at 1480.00 levels, just at our 1481.00-1480.00 support area. Yesterday I wrote: “If buyers don’t jump at the initial support, the E-mini S&P 500 futures could slide to the 1481.00-1479.00 area while the E-mini Nasdaq futures get to 2098.00-2096.00.” Both levels were tested and held during all the session. At midday, the indexes tested the lows and after trading the next two hours between 1482.00 and 1487.00, the E-mini S&P 500 futures pushed above resistance and rallying to the 1495.00 area. A pullback to the previous intraday resistance and new support at 1487.00 was bought and the E-mini S&P 500 futures rallied to the previous day settlement around 1501.00. Our “E-mini S&P 500 Real Time Trading” subscribers were accurate updated and bought around 1482.50, close to the daily lows.
Thursday brought range action between Wednesday’s lows and highs, and probably on today’s session. we’ll have more range movement until a clear break occurs. The fact that the E-mini S&P 500 futures were able to test and rebound from Wednesday’s lows, it’s a call for a short term bottom. During this week, I have been predicting based on my studies, a trading low between yesterday and today, and a weak rally for the coming weeks that could take the E-mini S&P 500 futures back to the 1517.00-1530 area by the end of the year.
Yesterday’s bullish chart formation makes today’s session a critical one, as yesterday’s lows has to hold any selling pressure, and although, there was and increase in volume during the bounce, there is still a lot of indecision between the bulls and the bears. Definitely, I will avoid any shorts near support as I consider the market cold for short sellers. For today's trading roadmap, please read the full report.
TODAY’S SUPPORT, PIVOT AND RESISTANCE LEVELS
S&P
NASDAQ
RUSSELL
Resistance 3
1512.00-1513.00
2140.00-2142.00
783.30-785.00
Resistance 2
1505.50-1506.50
2128.00-2130.00
778.20-779.20
Resistance 1
1500.50-1502.50
2121.00-2123.00
773.10-774.30
PIVOT
1494.50
2110.00
769.80
Support 1
1492.00-1490.00
2105.00-2103.50
768.40-767.20
Support 2
1487.00-1486.00
2096.00-2095.00
763.30-762.40
Support 3
1481.00-1480.00
2083.50-2082.00
757.00-755.70
S&P
NASDAQ
RUSSELL
FIBONACCI
FIBONACCI
FIBONACCI
1606.28
2264.24
839.00
1594.72
2248.01
832.51
1576.00
2221.75
822.00
1557.28
2195.49
811.50
1545.72
2179.26
805.01
1527.00
2153.00
794.50
1508.28
2126.74
784.00
1502.50
2118.63
780.75
1496.72
2110.51
777.51
1478.00
2084.25
767.00
1459.28
2057.99
756.50
1447.72
2041.76
750.01
1429.00
2015.50
739.50
DAILY PROJECTIONS
S&P
NASDAQ
RUSSELL
AS DAILY HIGH
1509.25
2127.50
777.20
Support, Pivot and Resistance levels courtesy of Arturo Stern. He authors the E-mini Daily trading advisory which gives technical analysis on all of the major stock index futures contract. For more of his analysis, go to www.theminitrade.com. Arturo can be reached at arthur@theminitrade.com.
Futures and options trading involve risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. This is neither a solicitation nor an offer to buy or sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in this document. The past performance of any trading system or methodology is not necessarily indicative of futures results. All the material contained here or in any communication is only for information purposes and part of our thoughts and personal conclusions.
