(CME:ESU13) — Take advantage of today's range swing trading tactics: Equities are seeing further profit taking after tapering became the main headline last week. This session the S&P is trading back below major support at 1681. After falling back on Friday and reaching a low of 1682.25, the S&P was able to close just above its major support. This session, however, we have seen a new swing low of 1675.25 as the market seems very soft to start the week. There is no major data today as traders will focus on Retail Sales domestically tomorrow to accompany sentiment data out of Europe. The market must maintain a close above 1681 or it faces a likely test to 1666.
Resistance - 1685.50*, 1695.50**, 1703-05*, 1711**, 1721*, 1757****
Support - 1681***(watch on closing basis), 1676-77*, 1666***, 1647**, 1629.25***
(NYMEX:CLU13) — Look to the Dollar and S&P for bias today: Crude Oil roared back on Friday, trading in nearly a $3 range that tested as high as $106.24. The market is slightly positive this morning after such an enormous rally from Thursday's lows. Thursday's traded to $102.22 almost 50 cents below that of July 30 and just squeezing out any week longs just below the previous level. Friday the market held our level at $103.67-85 early in the session and allowed traders to enjoy a $2+ rally. If you are in this trade you should look to lock in roughly $2 with a stop below this sessions low at $105.66. With the sessions high being $106.40, traders will be looking for a close back above $106.91 to signal a further run and likely retest of the previous highs. The dollar is trading higher this morning and is likely keeping commodity prices in check. Use the $105.75-95 level as a solid buying opportunity and only a close back below $104.79-105 as signaling a failure.
Resistance - 106.91, 107.52-88**, 108.82-93***, 110**, 113.14***
Support - 105.75-95**, 104.79-105***, 103.67-85**, 102.34*, 100.30-99.81***