If We Miss On The Retail Sales We Could Test 1933
Equities remain in consolidation pattern as major support in the S&P (CME:ESM14) at 1938 has continued to hold through this morning. Bulls that have looked to use this level as a buying opportunity have had an opportunity into this morning to have a profitable trade.
Today’s major focus will be the first piece of key data this week domestically, Retail Sales. We will also have Weekly Jobless claims as traders and investors look for further support to buy the rally. A miss with key data will put investor on further edge. The market has had an impressive run as of late and investors are looking for any reason to call a correction. A close below 1938 will encourage a consolidation lower to our major support level of 1917-1919; only a close below here will signal a deeper correction. A close above the 1947.75 level is needed to keep the bulls in control in the immediate term.
Resistance- 1947.75**, 1954*, 1998.25****
Support – 1938**, 1933-1924-1926*, 1917-1919***, 1913-1914*, 1904.75-1906**, 1898.50-1900*, 1893**, 1880.50-1883***
Algo's Clip WTI Stops Above 105.50/ Brent Is The Trade To Be Long
Crude oil (NYMEX:CLM14) has broken out to an eight month high as speculators believe fighting in Iraq will disrupt supplies. Previous highs and our major resistance level were taken out at the 104.99-105.22 three star level. The next major upside target comes in at 107.33 and with a trade above the 106 early in the session it looks like this could be attainable as we will likely see a fear of selling and continued path of least resistance higher into the weekend.
Major support will now come in at the 104.99-105.22 level while light support will come against a pullback low of 105.64. Highs in August of last year came in at 112.24 while much of the two month long consolidation remained below 110. Traders must continue to look for developments out of Iraq and feel free to call the trade desk as the day unfolds.
Resistance – 107.33***, 109.32**, 112.24***
Support –105.64*, 104.99-105.22***, 104.50*, 103.65-103.85**, 103.11**