Directional Bias For The Day:
The futures are almost unchanged but lower than 4:00 PM close on March 28- Moved down from 3:30 AM high of 2356.75
- Odds are for a sideways to up day; watch for break above 2356.75 and below 2350.0 for change of fortunes
- Daily momentum is to the upside but there are some strong resistance at current levels
- Key economic data: Pending Home Sales at 10:00 AM
- Volatility will be elevated
Markets Around The World
- Markets in the East closed mostly higher like that on Tuesday – Shanghai was down
- European markets are mostly higher – Spain and Italy are down
- Dollar index is higher; USD/JPY, GBP/USD and EUR/USD are lower;
- Commodities are mostly down – crude oil and NatGas are higher
- 10-yrs yield is at 2.398% down from March 28 close of 2.409%; 30-years is at 3.002% down from 3.013%
Key Levels:
- Critical support levels for S&P 500 are 2352.14, 2340.27 and 2337.63
- Critical resistance levels for S&P 500 are 2363.78, 2368.94 and 2381.93
- Key levels for eMini futures: break above 2356.75, high of 3:30 AM and break below 2350.00, the low of 6:30 AM
Pre-Open
- Pre-NYSE session open, futures price action is to the upside to unchanged – at 8:45 AM, S&P 500 futures were up by +1.00, Dow down by -1.00 and NASDAQ is up by +6.75
- On Tuesday, at 4:00 PM, S&P future (June contract) closed at 2354.50 and the index closed at 2358.57 – a spread of about +4.00 points; futures closed at 2351.50 for the day; the fair value is +3.00
The trend and patterns on various time frames for S&P 500 are:
Monthly |
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Weekly: |
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Daily |
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2-Hour (e-mini future) |
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30-Minute (e-mini future) |
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Previous Session
The uptrend line form November lows is broken. The sequence of higher highs and higher lows has also broken. Critical level for uptrend to resume is a break above 2388.10.
Dow Jones Industrial Average and Russell 2000 are making a similar pattern. NASDAQ Composite did not decline as much as S&P 500, DJIA and Russell 2000 on Friday and is nearer its March 21 high than other two.