S&P Futures are higher; moving higher since 7:30 PM on March 6 within an up-sloping flag
At the upper limit of an ascending triangle on 30-Min chart
Odds are for an up to sideways day – watch for break above 2734.50 and break below 22720.25 for change of fortunes
Key economic data:
Unemployment Claims (231K vs. 220K est.) at 8:30 AM
Markets Around The World
Markets in the East were up
European markets are mostly higher – Germany is down
Currencies:
Up
Down
EUR/USD
AUD/USD
NZD/USD
Dollar index
GBP/USD
USD/JPY
USD/CHF
USD/CAD
Commodities:
Up
Down
Crude Oil
NatGas
Silver
Palladium
Cotton
Sugar
Cocoa
Gold
Copper
Platinum
Coffee
Bonds
10-yrs yield closed at 2.883% on March 7, up from March 6 close of 2.877%;
30-years is at 3.152%, up from 3.136%
2-years yield is at 2.258%, unchanged
The 10-Year-&-2-Year spread is at 0.633, up from 0.619
Key Levels:
Critical support levels for S&P 500 are 2713.73, 2701.74 and 2675.75
Critical resistance levels for S&P 500 are 2730.89, 2738.02 and 2754.43
Key levels for eMini futures: break above 2734.50, the high at 6:30 AM on March 6 and break below 2720.75, the low of 3:30 AM
Pre-Open
On Wednesday, at 4:00 PM, S&P future (March contract) closed at 2726.00 and the index closed at 2726.80 – a spread of about -0.75 points; futures closed at 2723.25 for the day; the fair value is +2.75
Pre-NYSE session open, futures price action is to the upside – at 8:30 AM, S&P 500 futures were up by +7.25; Dow by +19.00; and NASDAQ by +33.75
Directional Bias Before Open
Weekly: Uptrend Under Pressure
Daily: Uptrend Under Pressure
120-Min: Side
30-Min: Side-Up
15-Min: Up
6-Min: Up
The trend and patterns on various time frames for S&P 500 are:
The week ending on March 2 was a large bearish engulfing candles with large upper and lower shadows
Last week’s pivot point=2709.24, R1=2771.16, R2=2812.07; S1=2629.33, S2=2567.41; S1/S2/S3/R1/R2 pivot levels were breached;
A down week; first after two up weeks, third in last five weeks and fourth in last ten weeks
Broke above a down sloping flag on April 24 2017;
flag-low was 2322.25 during 27-Mar-17 week; shorter flag-pole length is 317.19 and longer flag-pole length is 590.88;
100% extension target of shorter flag-pole near 2639.41 is achieved; and the 161.8% extension target is near 2835.46
61.8% extension target of longer flag-pole near 2687.41 is achieved; the 100% extension target is near 2913.13
Broke above a down-sloping flag on November 14, 2016;
the flag low was 2083.79 during 31-Oct-16 week; the shorter flag-pole length is 202.13 and the longer flag-pole length is 383.71;
261.8% extension target of shorter flag-pole near 2612.97 is achieved
the 161.8% extension target of longer flag-pole near 2704.63 is achieved; the 261.8% extension target is near 3088.34
Last swing low, 2322.25, was the low on March 27, 2017
Below 10-week EMA; at 39-week SMA and above 89-week SMA
Uptrend under pressure
Daily
A relatively large green candle with small lower shadow and smaller upper shadow; a break above Tuesday high of 2732.08 will be bullish
Last big pattern, a down-sloping flag in June 2017, was broken to the upside on July 13, 2017; in August the index declined and tested the broken upper limit of the flag; since then the index has made three very small flags; it broke to the upside of the last flag on January 2
Bounced off 200-day SMA on February 9
Above 20-day EMA; above 50-day EMA; above 100-day SMA and 200-day SMA
Uptrend under pressure
2-Hour (e-mini future)
Rising since making a low of 2681.25 at 6:00 PM on March 6; moving sideways since 4:00 PM on March 7
RSI-9 rising since making a low of 30.24 at 6:00 PM on March 6; moving around 65 since 2:00 PM on March 7
Above 20-bar EMA, which is above EMA10 of EMA50
Bias: Side
30-Minute (e-mini future)
At the upper limit of an ascending triangle; break above 275.00 will have a target near 2780.00
RSI is mostly above 50 since 3:00 AM on March 7
Above 50-bar EMA, which is above 20-bar EMA
Bias: Side-Up
15-Minute (e-mini future)
Bollinger Band (20, 2.0) is moving up since 11:45 PM on March 6
The band contracted from 8:00 PM to 6:30 AM and is expanding now
RSI is above 40 since 1:45 AM on March 7 and is above 65 at the moment
The Stochastic (9, 1, 3): %K reached 100 at 6:30 AM and is declining; formed a bearish divergence at 7:30 AM
Bias: Up
Previous Session
Major U.S. indices were mixed on Wednesday March 7.S&P 500, Dow Jones Industrial Average, Dow Jones Transportation Average and NYSE Composite closed down. NASDAQ Composite, Russell 2000 and Wilshire 5000 Total Market Index closed higher. Volume was higher for most indices from Tuesday. Volume for DJT was lower.
The market opened with a sharp gap down from previous day. It then rose but fou8rn resistance at the upper limit of the gap in late morning. After testing the lows by mid-day, the market turned around and closed near the highs for the day. The day’s price action points for a turn-around Russell 2000 has broken above the highs reached on February 27.
