The S&P 500 overall structure is neutral going into Friday's PCE number. The market bias is for movement higher and this would be the expectation provided the PCE number provides an indication that inflation may be slowing down.
Thursday in the S&P 500 has the possibility of setting up market action for Friday fundamentals like the PCE number. This would mean not looking for a sustained downward move but rather a market that goes sideways or slightly lower leaving a shadow on the bottom.
With the resilience of the economy, fed holding off on interest rate increases we are seeing continued enthusiasm building in the S&P 500. The expectation for Wednesday would be new highs but not a large move.
Sideways movement is expected for Tuesday after Monday's week rally in the S&P 500. The motivation for an increase in volatility for the S&P 500 is expected to occur with fundamentals later in the week.
The S&P 500 price action created a cautious close on Friday. The bias for this market is the higher levels even though there was selling for the last 2 days at the highs in this market.
Thursday in the S&P 500 was a rest day. Now the challenge for this market going into Friday's session will be follow-through from the buyers. Can they provide a confident close going into the weekend with a close above 4790.
Thursdays price action in the S&P 500 after the Fed announcements provided a step in the bullish direction for buyers to continue moving levels higher. Follow-through would be expected on Thursday to the upside but not the same size of range that was shown on Wednesday.
The bias in the S&P 500 continues to the upside with Tuesday's market action. If the Fed or the PPI reveals all surprise, this market could easily come tumbling down. However, that is not what I'm looking for. My expectations are for new highs in this market on Wednesday.
The S&P 500 price action on Monday establishes a wait and see structure going into Tuesday's fundamental CPI report. I still think the bias is for moved to the upside.
Friday's positive close in the S&P 500 implies that buyers have returned to the S&P 500 but can they follow through. A dramatic move higher on Monday is not expected. The objective would be a close above 4670.
Prior to the labor fundamentals being released on Friday the opening in the Asia session for the S&P 500 indicates the market evened up prior to Friday's release of these fundamentals. This implies a 50-50 chance of a rally or break in prices. Although, the bias is still for the market to move higher.
The rally and then break in the S&P 500 on Wednesday implies sellers returning to the market. The question is are sellers in control to now drive this market lower. At the moment, it does not appear that fundamentals are available to create that type of environment. The price structure implies the market going lower on Thursday however we are at levels that buyers...
The price structure in the S&P 500 for the last 2 trading sessions imply that buyers are buying the break and the overall structure has a bias to the upside. The expectation is a positive day to the upside in the S&P 500.
A smaller range to the upside in the S&P 500 is expected for Monday's price action. Buyers continued in this market and the same size of move on Monday would not be expected unless we get new fundamentals to stimulate this market.
Can buyers finish in the S&P 500 on Friday with a positive close going into the weekend. That would be the expectation based on the price structure. However, there are challenges at the previous highs that could slow this market down.
Wednesday's price action implies the set up waiting for Thursday's market data.
The bias in the S&P 500 is to the upside. However, if buyers are here we need a close above 4585 by the close of Friday.