Directional Bias For The Day:

• S&P Futures are lower
• The odds are for a sideways to down day with elevated volatility; – watch for break above 3052.25 for change of sentiments
• Key economic data due:
  • Core Durable Goods Orders ( 2.1% est.; prev. -7.7%) at 8:30 AM
  • Durable Goods Orders ( 10.3% est.; prev. -17.7%) at 8:30 AM
  • Final GDP ( -5.0% est.; prev. -5.0%) at 8:30 AM
  • Unemployment Claims ( 1320K est.; prev. 1508K) at 8:30 AM
  • Final GDP Price Index ( 1.4% est.; prev. 1.4%) at 8:30 AM
  • Goods Trade Balance ( -68.8B est.; prev. -69.7B) at 8:30 AM
  • Prelim Wholesale Inventories ( 0.4% est.; prev. 0.3%) at 8:30 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 3038.83, 3032.13 and 3008.79
• Critical resistance levels for S&P 500 are 3067.28, 3079.39 and 3093.60
• Key levels for E-mini futures: break above 3052.25, the high of 5:30 AM and break below 3020.25, the low of 10:00 PM

Pre-Open

• On Wednesday at 4:00 PM, S&P futures (September 2020) closed at 3040.25 and the index closed at 3050.33 – a spread of about -10.00 points; futures closed at 3049.00 for the day; the fair value is -8.75
• Pre-NYSE session open, futures are lower – at 8:00 AM, S&P 500 futures were down by -23.00; Dow by -238 and NASDAQ by -32.25

Markets Around The World

• Markets in East closed lower – Shanghai and Hong Kong were closed
• European markets are higher
• Currencies:
  

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

• Commodities:
  

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

• Bond
  • 10-yrs yield closed at 0.684%, down from June 23 close of 0.709;
  • 30-years is at 1.445% down from 1.489%
  • 2-years yield is at 0.187% down from 0.193%
  • The 10-Year-&-2-Year spread is at 0.497 down from 0.516
• VIX
  • Is at 34.48; up +0.67 from June 24 close; above 5-day SMA;
  • Recent high 44.44 on June 15; low 29.26 on June 23
  • Sentiment: Risk-Off

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

Previous Session

Major U.S. indices closed lower on Wednesday, June 24 in mostly lower volume. NASDAQ Composite traded in higher volume. indices opened lower with gaps and made day’s lows by midday before trading mostly sideways in afternoon. All S&P sectors closed lower.

From Briefing.com:

The major indices fell more than 2% on Wednesday amid renewed concerns about the coronavirus and its potential impact on reopening activity. The S&P 500 lost 2.6%, the Dow Jones Industrial Average lost 2.7%, the Nasdaq Composite lost 2.2%, and the Russell 2000 lost 3.5%. All 11 S&P 500 sectors closed lower, and all 30 Dow components closed lower. The energy (-5.5%), industrials (-3.5%), and financials (-3.5%) sectors were hit the hardest, while the utilities sector (-0.9%) was the lone sector that declined less than 1.0%. […] U.S. Treasuries finished with modest gains amid the weakness in equities. The 2-yr yield declined one basis point to 0.18%, and the 10-yr yield declined two basis points to 0.69%. The U.S. Dollar Index rose 0.6% to 97.21. WTI crude fell 6.2%, or $2.50, to $37.88/bbl. […] The FHFA Housing Price Index for April increased 0.2% following a 0.1% increase in March. The weekly MBA Mortgage Applications Index fell 8.7% following an 8.0% spike in the prior week.