Directional Bias For The Day:

• S&P Futures are a higher at 8:45 AM; up more than 60 points from the 3:30 AM low of 4382.25
• The odds are for an up day with elevated volatility – watch for a break below 4416.25 for a change of sentiments
• Key economic data report due during the day:
  • CPI ( 1.2% vs. 1.2% est.; prev. 0.8%) at 8:30 AM
  • Core CPI ( 1.3% vs. 0.5% est.; prev. 0.5%) at 8:30 AM
  • IBD/TIPP Economic Optimism ( 43.2 est.; prev. 41.0) at 10:00 AM
  • FOMC Member Brainard’s speech at 12:10 PM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 4424.30, 4408.38, and 4386.55
• Critical resistance levels for S&P 500 are 4444.01, 4464.35, and 4481.80
• Key levels for E-mini futures: break above 4444.50, the low at 12:30 AM on April 7, and a break below 4416.25, the low at 8:30 AM

Pre-Open

• On Monday at 4:00 PM, S&P futures (June 2022) closed at 4409.25 and the index closed at 4412.53 – a spread of about -3.25 points; futures closed at 4409.00 for the day; the fair value is +0.25
• Pre-NYSE session open, futures are higher – at 8:30 AM, S&P 500 futures were up by +29.75; Dow by +115; and NASDAQ by +177.50

Markets Around The World

• Markets in the East closed mostly lower – Shanghai and Hong Kong closed higher
• European markets are mostly lower – France is higher
• Currencies (Compared to two weeks ago):
  

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

• Commodities (Compared to two weeks ago):
  • Energy futures are mixed
  • Precious metals are mixed
  • Industrial metals are mostly lower
  • Soft commodities are mixed
• Treasuries (Compared to two weeks ago)
  • 10-years yield closed at 2.780%, up +30.3 basis points from two weeks ago;
  • 30-years is at 2.820%, up +24.7 basis points;
  • 2-years yield is at 2.496%, up +15.6 basis points;
  • The 10-Year-&-2-Year spread is at 0.284, up from 0.137
  • The 30-Year-&-10-Year spread is at 0.040, down from 0.096
• VIX
  • At 24.16 @ 7:45 AM; down from the last close; above the 5-day SMA;
  • Recent high = 24.78 on April 6; low = 18.45 on April 4
  • Sentiment: Risk-Neutral-Off

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

Previous Session

Major U.S. indices closed mostly lower on Monday, April 11, in mostly higher volume. Dow Jones Transportation Average closed higher in higher volume.

The major indices gapped down at the open and then traded lower for the rest of the day. All S&P sectors closed lower.

From Briefing.com:

The S&P 500 fell 1.7% on Monday, as the market remains pressured by rising rates, technical factors, and growth concerns. The Nasdaq Composite declined 2.2%, the Dow Jones Industrial Average declined 1.2%, and the Russell 2000 declined 0.7%. The 10-yr yield, specifically, jumped another seven basis points to 2.78% (+45 bps for the month and +127 bps for the year), […] The late-day slide took all 11 S&P 500 sectors into negative territory on a closing basis. The information technology (-2.6%), consumer discretionary (-1.9%), and communication services (-1.7%) sectors, which are home to the mega-caps, were influential drags on the market. The energy sector (-3.1%) was the weakest performer, though, as oil prices dropped below $95.00 per barrel ($94.16/bbl, -4.02, -4.1%), […] The industrials (-0.3%), materials (-0.5%), financials (-0.5%), and consumer staples (-0.5%) sectors outperformed on a relative basis with modest declines. […] The 2-yr yield, meanwhile, decreased two basis points to 2.50%. The U.S. Dollar Index (99.99, +0.20, +0.2%) rose for the eighth straight session. […] Dow Jones Industrial Average -5.6% YTD S&P 500 -7.4% YTD Russell 2000 -11.8% YTD Nasdaq Composite -14.3% YTD Overseas:  Europe: DAX -0.6%, FTSE -0.7%, CAC +0.1% Asia: Nikkei -0.6%, Hang Seng -3.0%, Shanghai -2.6% Commodities:  Crude Oil +1.88 @ 98.18 Nat Gas -0.08 @ 6.31 Gold +6.50 @ 1951.30 Silver +0.21 @ 24.97 Copper -0.09 @ 4.62