E-mini S&P 500 (CME:ESM14)
Looking to sell into the first rally against 1874.
U.S. equities saw a quiet session yesterday as much of the world markets were closed. Indices across Europe open their week up nearly 1% as the S&P is finding resistance at our major 1866-1867.75 level. Traders will be focused on Existing Home Sales this morning as well as earnings as we dive right into the middle of the season; today’s include Lockheed Martin, AT&T, McDonald’s, Comcast and more. A close above the major three star resistance at 1866-1867.75 is needed to signal a leg higher and a new trading range. Light support sits at the 1856.75 level, but the next major support level comes in at 1850.75, while only a close below 1844.75-1847.25 is needed to signal a failure. Expect nice trading volatility today, use the levels and manage risk properly.
Resistance- 1866-1867.75***, 1874-75.50**, 1880.50**, 1893***, 1917-1919****
Support – 1856.75*, 1850.75**, 1844.75-1847.25***, 1837.25**, 1830**, 1820.00-1823**, 1808.75***
The crude market is stuck. Looking for longs to book some profits; RSI show reaching overbought levels.
Crude oil has softened up slightly this morning despite a weaker U.S. Dollar. Yesterday’s session was quiet and now that Europe and Hong Kong are back from Holiday look for a better swing session to trade the levels. With a low of 103.08 early in today’s session, support at 102.91 has come in well. There are several major support levels coming in below here which will help keep the market in check; while the last line in the sand comes in at 100.86. Still, a continuous chart does not have the climbing factor that the June front month chart shows while remaining in check to the March contract on a continuous chart. There is still geopolitical concern out of Ukraine, while traders look for developing news out of there. Furthermore, economic indicators such as Existing Home Sales will be closely watched this morning as better than expected U.S. data will help keep the market elevated. A close back above 103.77-104.10 will help signal further bullish price action.
Resistance - 103.77-104.10**, 104.99-105.22**, 105.62**, 106.39**, 112.24****
Support - 102.91**, 102.24**, 101.14***, 100.86****, 100.25**
NEXT PAGE: GOLD. Buyers come against the support levels.