Directional Bias For The Day:

• S&P Futures are higher
• Moving mostly up 3:30 PM on September 26
• Near a double top at 2501.25; break above will have a target near 2510.50
• Resistance at 2501.25 and the downtrend line from the high of September 20
• Odds are for an up day – watch for break below 2496.75 for change of fortunes
•  Key economic data due:
  • Core Durable Goods Orders (0.2% vs. 0.2% est.) at 8:30 AM
  • Durable Goods Orders (1.7% vs. 1.0% est.) at 8:30 AM
  • Pending Home Sales (est. -0.5%) at 10:00 AM

Markets Around The World

• Markets in the East closed mostly down – Shanghai and Hong Kong were up; the intra-day trend was mostly down for the day with late recovery for some markets
• European markets are mostly up – Switzerland is down; down; markets opened to the upside and are mostly flat since early trading except for Spain, which has moved higher, and Switzerland, which is moving down since the open
• Currencies:
  

  Up	Down
  Dollar index USD/JPY USD/CHF USD/CAD	EUR/USD GBP/USD AUD/USD NZD/USD

• Commodities are mostly down
  

  Up	Down
  Crude Oil NatGas Copper Cocoa	Gold Silver Platinum Palladium Sugar Coffee Cotton

• 10-yrs yield closed at 2.229% on September 26 up from September 25 close of 2.220%; 30-years closed at 2.770% up from 2.760%

Key Levels:

• Critical support levels for S&P 500 are 2495.12, 2488.03 and 2480.99
• Critical resistance levels for S&P 500 are 2501.04, 2503.85 and 2508.82
• Key levels for eMini futures: break above 2501.25, the high of 3:30 AM and break below 2496.75, the low of 5:30 AM

Pre-Open

• On Tuesday, at 4:00 PM, S&P future (December contract) closed at 2495.00 and the index closed at 2496.84 – a spread of about 1.75 points; futures closed at 2495.50 for the day; the fair value is -0.50
• Pre-NYSE session open, futures price action is to the upside – at 8:30 AM, S&P 500 futures were up by +5.25; Dow down by +31.00; and NASDAQ by +17.75

Directional Bias Before Open

• Weekly: Up
• Daily: Up
• 120-Min: Side
• 30-Min: Side-to-Down

The trend and patterns on various time frames for S&P 500 are:

Previous Session

Major U.S. indices closed mostly higher on Tuesday September 26. Dow Jones Industrial Average and NYSE Composite declined. Russell 2000 and Dow Jones Transportation Average made all time highs.

Market gapped up at the open. S&P 500, NASDAQ, DJIA made highs in the early trading and then trended down till afternoon. The second rally fizzled in the final hour of trading. Russell 2000 and DJT trended up for most of the day.

• S&P 500 Sectors