S&P Futures are lower; bouncing off from a low 2885.00, near Tuesday’s low, at 4:00 AM
Odds are for a sideways to down day; watch for break above 2899.25 and below 2885.00 for clarity
No key economic data due:
Markets Around The World
Markets in the East closed lower
European markets are mostly down – Italy is up
Currencies:
Up
Down
EUR/USD
USD/JPY
NZD/USD
USD/INR
Dollar index
GBP/USD
USD/CHF
AUD/USD
USD/CAD
Commodities:
Up
Down
Gold
Silver
Copper
Palladium
Coffee
Crude Oil
NatGas
Platinum
Sugar
Cotton
Cocoa
Bonds
10-yrs yield closed at 2.902%, on September 4 up from August 31 close of 2.853%;
30-years is at 3.069%, up from 3.010%
2-years yield is at 2.657%, up from 2.633%
The 10-Year-&-2-Year spread is at 0.245, up from 0.220
Key Levels:
Critical support levels for S&P 500 are 2885.13, 2875.72 and 2870.25
Critical resistance levels for S&P 500 are 2898.22, 2903.32 and 2906.32
Key levels for eMini futures: break above 2892.75, the high of 7:00 AM and break below 2885.00, the low of 4:00 AM
Pre-Open
On Tuesday, at 4:00 PM, S&P future (September contract) closed at 2897.25 and the index closed at 2896.72 – a spread of about +0.50 points; futures closed at 2898.25 for the day; the fair value is -1.00
Pre-NYSE session open, futures price action is to the down side – at 7:00 AM, S&P 500 futures were down by -5.50; Dow by -87.00; and NASDAQ by -20.75
Directional Bias Before Open
Weekly: Uptrend
Daily: Uptrend
120-Min: Side-Down
30-Min: Down
15-Min: Down-Side
6-Min: Down-Side
The trend and patterns on various time frames for S&P 500 are:
The week ending on August 24 was a green candle with almost no lower shadow and that closed near the middle of week’s range; gapped up at the open on Monday and made all time highs
Last week’s pivot point=2900.90, R1=2917.12, R2=2932.71; S1=2885.31, S2=2869.09; R1/R2/R3 pivot levels were breached;
A second up week in a row; fourth in last five weeks and seventh in last ten weeks
Broke above an ascending triangle but retraced back to its upper limit; 100% extension target is near 3070.00 level
Broke above a down sloping flag on April 24 2017;
flag-low was 2322.25 during 27-Mar-17 week; shorter flag-pole length is 317.19 and longer flag-pole length is 590.88;
100% extension target of shorter flag-pole near 2639.44 and the 161.8% extension target near 2835.46 are achieved; the 261.8% extension target is near 3013.72
61.8% extension target of longer flag-pole near 2687.41 is achieved; the 100% extension target is near 2913.13
Broke above a down-sloping flag on November 14, 2016;
the flag low was 2083.79 during 31-Oct-16 week; the shorter flag-pole length is 202.13 and the longer flag-pole length is 383.71;
261.8% extension target of shorter flag-pole near 2612.97 is achieved
the 161.8% extension target of longer flag-pole near 2704.63 is achieved; the 261.8% extension target is near 3088.34
Last swing low, 2322.25, was the low on March 27, 2017; Last swing high, 2872.87, was during the week of January 22, 2-018; the low since the last swing high is 2532.69 during the week if February 5, 2018
Above 10-week EMA; above 39-week SMA and above 89-week SMA
Uptrend
Daily
A small red real body candle with very small upper shadow and longer lower shadow; the low on Tuesday is just above the upper bound of a gap that was opened on August 27
%K is below %D after making bearish divergence
Above 20-day EMA, 50-day EMA, 100-day SMA and 200-day SMA
Uptrend
2-Hour (e-mini future)
Declining from a high of 2917.50 at 2:00 PM on August 29; broke below a support/congestion level near at 2894.00; the 100% extension target from the broken horizontal channel is near 2879.00
RSI-9 made a bearish divergence at 10:00 AM on August 29; in a downtrend since 8:00 PM on August 27; mostly below 40 since 4:00 AM on September 4
Below 20-bar EMA, which is below EMA10 of EMA50
Bias: Side-Down
30-Minute (e-mini future)
Forming a descending triangle; below a downtrend line from a high of 2912.00 made at 3:00 on September 4
RSI-9 made a bullish divergence at 3:00 AM; rising above 40 from a low of 26.95
At/below 20-bar EMA, which is below 50-bar EMA
Bias: Down
15-Minute (e-mini future)
Bollinger Band (20, 2.0) is essentially moving sideways since 12:00 PM on September 5
The band narrowed from 8:00 PM on Tuesday to 1:30 AM on Wednesday; expanding since then; price moved along the lower band till 4:15; price is at the mid-level
RSI rising in zigzag from a low of 19.12 at 3:15 AM; near 50
The Stochastic (9, 1, 3): %K made a bullish divergence at 4:15 AM near 0; %K is above 80
Bias: Down-Side
Previous Session
Major U.S. indices closed mostly lower on Tuesday September 4 in mixed volume. Dow Transports was the only major index that bucked the trend and closed higher. The trading volume was higher for Dow Transports, NASDAQ Composite and Russell 2000. The indices are indicating a consolidation with either a sideways move or mild retracement from highs.
