New leg down at 7:30 Am after a sideway move from 6:00 PM on September 27; an ABCD pattern; price near the 100% extension target of 2498.25
Odds are for a down day – watch for break above 2505.50 for change of fortunes
Key economic data due:
Final GDP (3.1% vs. 3.0% est.) at 8:30 AM
Unemployment Claims (272K vs. 269K est.) at 8:30 AM
Markets Around The World
Markets in the East closed mostly up – Shanghai and Hong Kong were down; the intra-day trend was mixed; most rose late in the day
European markets are mixed – Germany, France and Switzerland are up; U.K., Spain, Italy and STOXX 600 are down; down; intraday trend is similar
Currencies:
Up
Down
EUR/USD
GBP/USD
USD/CHF
Dollar index
USD/JPY
USD/CAD
AUD/USD
NZD/USD
Commodities are mostly down
Up
Down
Crude Oil
NatGas
Copper
Platinum
Palladium
Cocoa
Gold
Silver
Sugar
Coffee
Cotton
10-yrs yield closed at 2.309% on September 27 up from September 26 close of 2.229%; 30-years closed at 2.863% up from 2.770%
Key Levels:
Critical support levels for S&P 500 are 2495.91, 2488.03 and 2480.99
Critical resistance levels for S&P 500 are 2511.75, 2513.89 and 2520.74
Key levels for eMini futures: break above 2505.50, the high of 1:30 AM and break below 2498.75, the low of 1:00 PM on September 27
Pre-Open
On Wednesday, at 4:00 PM, S&P future (December contract) closed at 2504.50 and the index closed at 2507.04 – a spread of about 2.50 points; futures closed at 2504.50 for the day; the fair value is 0.00
Pre-NYSE session open, futures price action is to the downside – at 8:15 AM, S&P 500 futures were down by -5.25; Dow down by -46.00; and NASDAQ by -23.75
Directional Bias Before Open
Weekly: Up
Daily: Up
120-Min: Side
30-Min: Side-to-Up
The trend and patterns on various time frames for S&P 500 are:
A green shaven top and shaven bottom candle that gapped up from previous day’s red harami candle; all time highs after a brief – seven week pullback
Last week’s pivot point 2491.66; R1=2508.80, R2=2517.37; S1=2483.09, S2=2465.95; R1/R2/R3 were breached; support levels not breached for four weeks
An up week – third in last five weeks; sixth in last ten weeks
Broke above a down sloping flag (2378.36) on April 24, which has bullish implications; first target is near 2520.00 and the second target is near 2640.00
Broke above a down-sloping flag on November 14, 2016; first target of 2285.92 is achieved; second target is near 2467.50
Last swing low, 2322.25, was the low on March 27, 2017
Above 10-week EM; above 39-week SMA and 89-week SMA
Confirmed uptrend, though pulling back and moving sideways since June 5
Daily
A green doji like candle on a positive day that made all time highs; the real body is in the middle of day’s range
Last pattern, a down-sloping flag in June that was broken to the upside on July 13, is re-asserted
Above 20-day EMA, which is above 50-day EMA; Above 100-day SMA and 200-day SMA
Pivot Point=2504.90; R1=2513.89, R2=2520.74; S1=2498.05, S2=2489.06; R1/R2/R3 were breached
Confirmed Uptrend
2-Hour (e-mini future)
Near the upper limit of a horizontal channel after a break above it for one bar; broken above the downtrend line since high of 2506.75 at 2:00 PM on September 20;
Sequence of higher high and higher low since 12:00 PM September 5 could resume
At/below flattening 20-bar EMA, which is above rising 50-bar EMA
30-Minute (e-mini future)
Moving mostly sideways since 6:00 PM on September 27
Broke above a horizontal channel in two attempts; achieved 100% extension target
Up trend since the of low of 2485.00 at 11:00 AM on September 25;
Above recently rising 20-bar EMA, which is above recently rising 50-bar EMA
Previous Session
Major U.S. indices closed sharply higher on Wednesday September 27. S&P 500, Dow Transportation Average, Russell 2000, NYSE Composite and Wilshire 5000 Total Market Index made all time highs. Only S&P 500 did not make a closing high. Dow Jones Industrial Average and NASDAQ Composite did not make highs.
Market started the day with a gap up open but then gave all of that by mid-morning. The second rally started in the afternoon before pulling back in the last half hour of trading.
