Directional Bias For The Day:

• S&P Futures are higher
• The odds are for an up day with volatility – watch for a break below 3908.50 for a change of sentiments
• Key economic data report due during the day:
  • Durable Goods ( -0.9% vs. 0.7% est.; prev. 3.4% ) at 8:30 AM
  • Core Durable Goods ( -1.1% vs. 0.6% est.; prev. 1.3%) at 8:30 AM
  • Flash Manufacturing PMI (59.6 est.; prev. 58.6) at 10:00 AM
  • Flash Services PMI ( 60.1 est.; prev. 59.8 ) at 10:00 AM
  • Fed Chair’s Senate Testimony

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 3901.57, 3886.75, and 3873.94
• Critical resistance levels for S&P 500 are 3927.35, 3937.35, and 3947.73
• Key levels for E-mini futures: break above 3919.00, the high of 7:15 AM and break below 3911.50, the low of 7:00 AM

Pre-Open

• On Tuesday at 4:00 PM, S&P futures (June 2021) closed at 3899.00 and the index closed at 3910.52 – a spread of about -11.50 points; futures closed at 3899.75 for the day; the fair value is -0.75
• Pre-NYSE session open, futures are higher – at 7:45 AM, S&P 500 futures were up by +11.00; Dow by +87, and NASDAQ by +81.75

Markets Around The World

• Markets in the East closed mostly lower – Sydney and Singapore were up
• European markets are lower
• Currencies (from two weeks ago):
  

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

• Commodities (from two weeks ago):
  • Energy futures are lower
  • Precious metals are lower
  • Industrial metals are mostly lower
  • Most soft commodities are mostly lower
• Treasuries (from two weeks ago)
  • 10-years yield closed at 1.638%, up 9.2 basis points from two weeks ago;
  • 30-years is at 2.348%, up 8.9 basis points;
  • 2-years yield is at 0.151%, down 1.4 basis points;
  • The 10-Year-&-2-Year spread is at 1.487, up from 1.381
• VIX
  • At 20.19 @ 6:45 AM; down from the last close; at/below 5-day SMA;
  • Recent high =  23.90 on March 19; low =  18.87 on March 22
  • Sentiment: Risk-On-to-Neutral

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

Previous Session

Major U.S. indices closed lower on Tuesday, March 23 in mostly higher volume. NASDAQ Composite traded in lower volume. Indices opened lower and then briefly bounced up to green but then declined and closed near the lows of the day.

From Briefing.com:

The S&P 500 (-0.8%), Nasdaq Composite (-1.1%), and Dow Jones Industrial Average (-0.9%) declined about 1% on Tuesday in a defensive session. The small-cap Russell 2000 dropped 3.6% to close below its 50-day moving average (2217) for the first time since the end of October. Eight of the 11 S&P 500 sectors closed lower, with the cyclical materials (-2.1%), industrials (-1.8%), financials (-1.4%), and energy (-1.4%) sectors pacing the laggards. The defensive-oriented utilities (+1.5%), consumer staples (+0.4%), and real estate (+0.4%) sectors closed higher alongside some of the mega-caps and longer-dated Treasuries. […] The 10-yr yield declined five basis points to 1.64%, while the 2-yr yield remained unchanged at 0.15%. The U.S. Dollar Index advanced 0.7% to 92.38. WTI crude futures ($57.75/bbl, -3.72, -6.1%) dropped 6%, revisiting a six-week low. […] New home sales declined 18.2% m/m in February to a seasonally adjusted annual rate of 775,000 (Briefing.com consensus 867,000) from an upwardly revised 948,000 (from 923,000) in January. On a yr/yr basis, new home sales were up 8.2%. […] The current account deficit for the fourth quarter totaled $188.5 billion (Briefing.com consensus -$190.0 billion). The third quarter deficit was revised to $196.1 billion from $178.5 billion. […] Russell 2000 +10.7% YTD Dow Jones Industrial Average +5.9% YTD S&P 500 +4.1% YTD Nasdaq Composite +2.6% YTD