Directional Bias For The Day:

• S&P Futures are lower;
• The odds are for a down day; watch for the break above 3687.50 for change of fortunes
• Key economic data report due during the day:
  • Revised Nonfarm Productivity ( 4.9% est.; prev. 4.9%) at 8:30 AM
  • Revised Unit Labor Costs ( -8.9% est.; prev. -8.9%) at 8:30 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 3670.94, 3657.17, and 3644.84
• Critical resistance levels for S&P 500 are 3678.88, 3693.23, and 3698.86
• Key levels for E-mini futures: break above 3687.50, the high of 4:00 AM and break below 3667.50, the low of 8:30 AM on Friday

Pre-Open

• On Monday at 4:00 PM, S&P futures (December 2020) closed at 3691.25 and the index closed at 3691.96 – a spread of about -0.75 points; futures closed at 3690.75 for the day; the fair value is +0.50
• Pre-NYSE session open, futures are lower – at 7:45 AM, S&P 500 futures were down by -18.25; Dow by -125, and NASDAQ by -47.50

Markets Around The World

• Markets in the East closed mixed – Shanghai, Hong Kong, Tokyo, and Seoul closed down; Sydney, Mumbai, and Singapore closed up
• European markets are lower
• Currencies:
  

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

• Commodities:
  • Energy futures are mixed
  • Precious metals are lower
  • Industrial metals are lower
  • Most soft commodities are mostly lower
• Treasuries
  • 10-years yield closed at 0.928%, down from the last close of 0.969%;
  • 30-years is at 1.686% down from 1.730%
  • 2-years yield is at 0.149% unchanged
  • The 10-Year-&-2-Year spread is at 0.779 down from 0.820
• VIX
  • At 21.86 @ 6:15 AM; up +0.56 from the last close; at/above 5-day SMA;
  • Recent high =  27.27 on November 12; low =  19.51 on November 27
  • Sentiment: Risk-Off

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

Previous Session

Major U.S. indices closed mostly lower on Monday, December 7 in mixed volume. NASDAQ Composite was the only major index to close higher. S&P 500 and Russell 2000 traded in higher volume. Day’s price range was relatively small and the indices mostly traded sideways.

From Briefing.com:

The S&P 500 declined 0.2% on Monday to ease back from record territory, while the Nasdaq Composite (+0.5%) closed at a fresh record high amid relative strength in growth stocks. The Dow Jones Industrial Average (-0.5%) and Russell 2000 (-0.1%) finished in negative territory after setting intraday record highs in the morning. […] The energy sector was hit the hardest with a 2.4% decline, although it remained up 30% this quarter and no other sector declined more than 1.0% today. The information technology sector (+0.3%) provided influential support, while the communication services (+0.6%) and utilities (+0.6%) sectors outperformed. […] Longer-dated Treasuries finished on a higher note to bounce back from recent losses and undo some of the recent curve-steepening action. The 2-yr yield was flat at 0.14%, and the 10-yr yield decreased four basis points to 0.93%. The U.S. Dollar Index increased 0.2% to 90.85. WTI crude futures decreased 1.0%, or $0.48, to $45.77/bbl. […] Consumer credit increased by $7.2 billion in October (Briefing.com consensus $9.0 billion) after increasing by a downwardly revised $15.1 bln (from $16.2 billion) in September.. […] Nasdaq Composite +39.5% YTD S&P 500 +14.3% YTD Russell 2000 +13.4% YTD Dow Jones Industrial Average +5.4% YTD