Directional Bias For The Day:

• S&P Futures are lower at 8:15 AM; declined more than 40 points from 7:15 AM high of 4233.50
• The odds are for a down day with elevated volatility; watch for a break above 4233.50 for a change of sentiments
• Key economic data report due during the day:
  • Trade Balance (-87.5B est.; prev. -80.7B) at 8:30 AM
  • Final Wholesale Inventories ( 0.8% est.; prev. 0.8%) at 10:00 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 4199.85, 4171.94, and 4114.65
• Critical resistance levels for S&P 500 are 4221.07, 4248.25, and 4276.98
• Key levels for E-mini futures: break above 4233.50, the high of 7:15 AM and break below 4193.75, the low of 5:15 AM

Pre-Open

• On Monday at 4:00 PM, S&P futures (March 2022) closed at 4198.00 and the index closed at 4201.09 – a spread of about -2.00 points; futures closed at 4198.50 for the day; the fair value is -0.50
• Pre-NYSE session open, futures are lower – at 8:15 AM, S&P 500 futures were down by -9.75; Dow by -54; and NASDAQ down by -82.00

Markets Around The World

• Markets in the East closed mostly lower – Mumbai closed up
• European markets are mostly higher – Singapore is lower
• Currencies (Compared to two weeks ago):
  

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

• Commodities (Compared to two weeks ago):
  • Energy futures are higher
  • Precious metals are higher
  • Industrial metals are higher
  • Soft commodities are mixed
• Treasuries (Compared to two weeks ago)
  • 10-years yield closed at 1.751%, down -19.7 basis points from two weeks ago;
  • 30-years is at 2.152%, down -10.1 basis points;
  • 2-years yield is at 1.548%, down -1.4 basis points;
  • The 10-Year-&-2-Year spread is at 0.203, down from 0.386
  • The 30-Year-&-10-Year spread is at 0.401, up from 0.305
• VIX
  • At 36.00 @ 8:15 AM; a bit down from the last close; above the 5-day SMA;
  • Recent high = 37.79 on February 24; low = 23.88 on February 16
  • Sentiment: Risk-Off (High-Volatility)

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

Previous Session

Major U.S. indices closed lower on Monday, March 7, in higher volume. Major indices opened lower and then traded lower for the rest of the day. The decline was more than 2.5% for all. The global markets also declined sharply. Crude oil rose but metals declined and the soft commodities were mixed. Th eUS Treasury yields also rose.

From Briefing.com:

The S&P 500 dropped 3.0% on Monday […] The Nasdaq Composite underperformed with a 3.6% decline while the Dow Jones Industrial Average (-2.4%) and Russell 2000 (-2.5%) fell closer to 2.5%. […] The underperformance of the S&P 500 consumer discretionary sector, which fell 4.8%, corroborated the consumer slowdown narrative. […] On the upside, the energy (+1.6%) and utilities (+1.3%) sectors each rose more than 1.0%. […] The 2-yr yield increased five basis points to 1.54%, and the 10-yr yield increased three basis points to 1.75%. The U.S. Dollar Index rose 0.5% to 99.15. […] Consumer credit increased by $6.8 billion in January (Briefing.com consensus $25.0 billion). The prior month saw an upward revision to $22.4 bln from $18.9 bln. […] Dow Jones Industrial Average -9.7% YTD S&P 500 -11.9% YTD Russell 2000 -13.1% YTD Nasdaq Composite -18.0% YTD Overseas:  Europe: DAX -2.0%, FTSE -0.4%, CAC -1.3% Asia: Nikkei -2.9%, Hang Seng -3.9%, Shanghai -2.2% Commodities:  Crude Oil +4.00 @ 119.27 Nat Gas -0.13 @ 4.87 Gold +27.70 @ 1996.50 Silver -0.07 @ 25.76 Copper -0.17 @ 4.75