The S&P showed a positive level of commitment on Wednesdays close. The right speed of price change is on target. It would be logical for the S&P to give us a rest day on Thursday, which means an inside type day. Friday will be important because there we want to see a level of commitment by buyers as we go into this weekend.
The S&P 500 has the right resiliency to imply further movement to the upside. The close on Wednesday indicated that buyers are willing to go home long this market. The right movement would be higher highs but not dramatic movement to the upside. The faster market moves to the upside the higher the probability that selling will come into the market.
The bias for the S&P 500 is to the upside. The current levels imply a sideways move for the market to catch its breath. However, we do not want to see the S&P 500 trading or closing below 4409. The economic outlook is still positive and it also appears that the market overall feels the same way. We still have the issue of the variant hanging over the markets...
On Monday the S&P 500 backed off based on concerns about the variant virus. Also, on Monday a shadow was formed on the lows which applies buyers came back into this market. Asia has opened and it's a bit softer. Monday's structure is potentially bearish but I'm not looking for a big move to the downside unless we get new news to stimulate sellers continuing to...
The close on Friday for the S&P 500 did not reach the goal of 4340. The issue is that this price action can represent a loss of momentum. It will be important when Asia opens up at 5:00 PM CST the buyers continue to support upward movement and the S&P 500. The idea being that Asia who has not had a chance to respond to Friday's market will continue upward buying pressure.
The stage is set in the S&P 500 futures contract for move to the upside. Be on alert for a move to the upside with a weak close which would be an ominous sign for next week's price action. However, I do think buyers are here and I do look for follow-through based on Friday's employment numbers and continued positive earnings. In addition, would anyone want to go...
The S&P 500 took a rest day on Wednesday. My expectation would be a sideways to higher Dave for Thursday's action. Even if the employment numbers are disappointing, it can be positive for the market because it would mean that the Fed would maintain its current policies with a weaker employment situation.
The price action on Tuesday and the strong close indicates that buyers are present in the S&P 500. We also have data on Thursday and Friday that could provide a stimulus for this market to move higher. On Wednesday, I'm looking for an inside the slightly higher movement and for buyers to remain in control. With this type of structure, it would typically require...
Although buyers failed to hold on to highs made during Monday's trading session, a sideways move is expected as the S&P 500 builds value at these levels. There's a lot of fundamental information coming out this week that implies a sideways structure is logical. We would need new market information to drive prices higher or lower in any dramatic fashion.
Friday's price action was the way to finish the week out for the S&P 500. The shadow on the lows indicates from my point of view that buyers are here they're willing to hold onto this position and the S&P 500 into the weekend that is a sign of strength. What we look for a Monday, I'm looking for unchanged the higher. I do not look for a dramatic move to the upside...
The S&P 500 absorbed a variety of fundamental data on Thursday. The structure provided by Thursday's Japanese candle chart has an upward bias and a neutral structure. This would imply follow-through to the upside or an inside day with the positive close as we go into this weekend. The Asia session for this market could set the tone for expected follow-through on Friday.
A sideways move for the S&P at current levels would make sense for the market to cool off and build value for what I believe would be the next leg to the upside. Friday will be important to see if these buyers can maintain their commitment to this market.
All indications are that the market was buying the break in the S&P 500. If indeed this is the case, you would expect to see an inside day for Thursday's action. If we do trade lower than yesterday's low 4345 would be the next objective to the downside. I still feel the overall economic outlook is positive and this is 1 of the reasons why I don't look for a...
Buyers have shown their conviction with the up close on Monday. However, with the number of announcements coming out this week there will be challenges ahead as we enter the busiest learning week out of the season with hundred and 65 S&P 500 stocks reporting. Remember, that Facebook, Amazon, Apple and Microsoft represent more than 20% of the S&P 500 market.
Friday's close gave us an indication that people willing to go home long the S&P 500. The expectation is that buyers will continue coming into the market starting with the Asia session which is 5:00 PM CST on Sunday, which is Monday morning in Asia. Look for smaller range day with a positive close for Monday.
We've seen buyers follow through this week. The concern is the smaller bodies which implies a loss of momentum and commitment. However, fundamentals are strong and the issue would be do we see profitaking as we go into the weekend or are buyers willing to hold onto these positions which would be indicated by a solid positive close.
The buyers continue to follow through in the S&P 500. This is a positive step for this market but consistency is going to be the key over the next 2 days. If buyers indeed believe in this market we need to see a positive close not only on Thursday but Friday, as well.
The price action that we've seen on Tuesday represents buyers returning to the market after Monday's break to the downside based on concerns. As we discussed, concerns usually do not sustain a dramatic long-term move to the downside. This means that the price action we've seen on Tuesday is encouraging but the critical issue now will be can these buyers follow...