Sharp down move following the release of Non-Farm Payroll report at 8:30 AM
Odds are for a down day; watch for break above 2875.00 for change of fortune
Key economic data due:
Non-Farm Employment Change (201K vs. 191K) at 8:30 AM
Unemployment Rate (3.9% vs. 3.8% est.) at 8:30 AM
Average Hourly Earnings (0.4% vs. 0.2% est.) at 8:30 AM
Markets Around The World
Markets in the East closed mostly lower – Shanghai and Mumbai were up
European markets are mostly lower – Switzerland is up
Currencies:
Up
Down
EUR/USD
GBP/USD
USD/JPY
USD/CHF
Dollar index
AUD/USD
USD/CAD
NZD/USD
USD/INR
Commodities:
Up
Down
Crude Oil
Gold
Silver
Palladium
Sugar
Coffee
Cocoa
NatGas
Copper
Platinum
Cotton
Bonds
10-yrs yield closed at 2.879% on September 6, down from September 5 close of 2.902%;
30-years is at 3.054%, down from 3.074%
2-years yield is at 2.653%, down from 2.657%
The 10-Year-&-2-Year spread is at 0.242, down from 0.245
Key Levels:
Critical support levels for S&P 500 are 2867.29, 2854.60 and 2849.16
Critical resistance levels for S&P 500 are 2883.61, 2891.87, 2898.22 and 2903.32
Key levels for eMini futures: break above 2878.50, the high of 5:00 AM and break below 2872.25, the low of 6:00 AM
Pre-Open
On Thursday, at 4:00 PM, S&P future (September contract) closed at 2880.00 and the index closed at 2878.05 – a spread of about +2.00 points; futures closed at 2879.00 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 -3.75; Dow by -44.00; and NASDAQ by -13.00
Directional Bias Before Open
Weekly: Uptrend
Daily: Uptrend
120-Min: Down
30-Min: Down
15-Min: Down-Side
6-Min: 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 relatively large red real body candle with small upper shadow and longer lower shadow; the low on Thursday is filled the gap that was opened on August 27
%K is below %D after making bearish divergence
At/above 20-day EMA, above 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 near 2879.00 is achieved
RSI-9 is below 40 since 8:00 AM on September 6
Below 20-bar EMA, which is below EMA10 of EMA50
Bias: Down
30-Minute (e-mini future)
Broke below a symmetrical triangle at 10:00 AM on September 6; 100% extension target near 2868.00 is achieved; the bounce was met with a resistance at the broken lower bound of the triangle
RSI-9 rose above 40 at 2:30 PM on September 6 but is below 50 since then
Below 20-bar EMA, which is below 50-bar EMA
Bias: Down
15-Minute (e-mini future)
Bollinger Band (20, 2.0) is moving sideways since 3:00 PM on September 6
The band narrowed, relatively, from 11:30 PM to 2:00 AM; expanding since then with price mostly moving along the lower band
RSI declined from a high of 66.71 at 2:30 AM to 35.48 by 6:00 AM; crossing above 40
The Stochastic (9, 1, 3): %K crossed above %D at 6:00 AM near 10 after making a bullish engulfing
Bias: Down-Side
Previous Session
Major U.S. indices closed mostly lower on Thursday September 6 in mixed volume. Dow Jones Industrial Average was up and NASDAQ Composite and Russell 2000 traded in higher volume.
