Directional Bias For The Day:

• S&P Futures are higher at 8:30 AM – jumped p following the CPI report at 8:30 AM
• The odds are for an up day with elevated volatility – watch for a break below 4138.50 for a change of sentiments
• The major economic data report is due during the day:
  • CPI m/m ( 0.1% vs. 0.2% est.; prev. 0.4%) at 8:30 AM
  • Core CPI m/m ( 0.4% vs. 0.4% est.; prev. 0.5%) at 8:30 AM
  • CPI y/y ( 5.0% vs. 5.1% est.; prev. 6.0%) at 8:30 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 4133.13, 4105.36, and 4094.98
• Critical resistance levels for S&P 500 are 4147.72, 4159.77, and 4176.54
• The key levels for E-mini futures are a break above 4177.25, the high at 8:30 AM, and a break below 4138.50, the low at 8:30 AM

Pre-Open

• On Tuesday at 4:00 PM, S&P futures (June 2023) closed at 4137.75, and the index closed at 4108.94 – a spread of about +28.75 points; the futures closed at 4136.50; the fair value is +1.25
• Pre-NYSE session open, futures were higher – at 8:30 AM, S&P 500 futures were up by +35.00, Dow by +220, and NASDAQ by +148.00

Markets Around The World

• Markets in the East closed mostly higher – Hong Kong closed down
• European markets are higher
• Currencies (Compared to two weeks ago):

• Commodities (Compared to two weeks ago):
  • Energy futures are higher
  • Precious metals are higher
  • Industrial metals are mostly higher
  • Soft commodities are mostly higher
• Treasuries (Compared to two weeks ago)
  • The 10-year yield closed at 3.434, down -13.0 basis points from two weeks ago;
  • The 30-year is at 3.621%, down -16.2 basis points;
  • The 2-year yield is at 4.024%, down -4.8 basis points;
  • The 10-Year-&-2-Year spread is at -0.590, down from -0.508
  • The 30-Year-&-10-Year spread is at 0.187, down from +0.219
• VIX
  • At 19.23 @ 6:45 AM; up from the last close; above the 5-day SMA;
  • Recent high = 30.81 on March 13; low = 18.16 on March 2
  • Sentiment: Risk-Neutral-Off

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

Previous Session

Major U.S. indices closed mostly higher on Tuesday, April 11, in mixed volume. S&P 500 and NASDAQ Composite closed lower. Dow Jones Industrial Average and Dow Jones Transportation Average traded in higher volume.

The major indices opened flat and then gradually traded higher until the final hour of trading, when they declined.

From Briefing.com:

[…] Some of the mega cap stocks were able to climb off their session lows as the broader market settled into a steady grind higher in the afternoon. The main indices took a sharp turn lower, though, with about 30 minutes left in the session […] The Vanguard Mega Cap Growth ETF (MGK) logged a 0.6% decline while the Invesco S&P 500 Equal Weight ETF (RSP) gained 0.7%, reflecting underlying strength in the market. In turn, advancers led decliners by a nearly 3-to-1 margin at the NYSE and a 5-to-3 margin at the Nasdaq. Nine of the 11 S&P 500 sectors closed with a gain led by the cyclical energy (+0.9%), financial (+0.9%), materials (+0.7%), and industrial (+0.6%) sectors. Losses from their respective mega cap components drove the information technology (-1.0%), communication services (-0.4%), and consumer discretionary (flat) sectors to the bottom of the pack. […] Treasury yields settled somewhat higher in front of tomorrow’s inflation data. The 2-yr note yield rose five basis points to 4.05% and the 10-yr note yield rose two basis points to 3.43%. Nasdaq Composite: +15.0% YTD S&P 500: +7.0% YTD S&P Midcap 400: +2.8% YTD Dow Jones Industrial Average: +1.6% YTD Russell 2000: +1.4% YTD […] Overseas:  Europe: DAX +0.4%, FTSE +0.6%, CAC+0.9% Asia: Nikkei +1.1%, Hang Seng +0.8%, Shanghai -0.1% Commodities:  Crude Oil +1.67 @ 81.53 Nat Gas +0.03 @ 2.20 Gold +15.40 @ 2020.00 Silver +0.28 @ 25.21 Copper +0.05 @ 4.03