Directional Bias For The Day:

• S&P Futures are a higher;
• The odds are for an up day with a good chance of sideways move from pre-open levels around 4295.00 – watch for a break above 4305.75 and a break below 4286.00 for clarity
• Key economic data report due during the day:
  • Challenger Jobs Cuts ( -88.0%; prev. -93.8%)
  • Unemployment Claims ( 364K vs. 388K est.; prev. 411K) at 8:30 AM
  • Final Manufacturing PMI ( 62.5 est.; prev. 62.6) at 9:45 AM
  • ISM Manufacturing PMI ( 61.0 est.; prev. 61.2) at 10:00 AM
  • Construction Spending ( 0.4% est.; prev. 0.2%) at 10:00 AM
  • ISM Manufacturing Prices ( 86.0 est.; prev. 88.0) at 10:00 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 4291.46, 4287.04, and 4274.67
• Critical resistance levels for S&P 500 are 4302.43, 4310.43, and 4318.44
• Key levels for E-mini futures: break above 4305.75, the high of 4:00 AM and break below 4286.00, the low of 6:45 AM

Pre-Open

• On Wednesday at 4:00 PM, S&P futures (September 2021) closed at 4291.75 and the index closed at 4297.50 – a spread of about -5.75 points; futures closed at 4288.50 for the day; the fair value is +3.25
• Pre-NYSE session open, futures are mixed – at 8:15 AM, S&P 500 futures were up by +6.00; Dow up by +77, and NASDAQ down by -9.00

Markets Around The World

• Markets in the East closed lower- Hong Kong  was closed for trading
• European markets are higher
• Currencies (from two weeks ago):
  

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

• Commodities (from two weeks ago):
  • Energy futures are higher
  • Precious metals are lower
  • Industrial metals are lower
  • Most soft commodities are mostly higher
• Treasuries (from two weeks ago)
  • 10-years yield closed at 1.443%, down -12.6 basis points from two weeks ago;
  • 30-years is at 2.065%, down -14.4 basis points;
  • 2-years yield is at 0.255%, up +9.4 basis points;
  • The 10-Year-&-2-Year spread is at 1.188, down from 1.408
• VIX
  • At 15.71 @ 8:00 AM; down from the last close; at/below 5-day SMA;
  • Recent high =  21.82 on June 21; low =  14.10 on June 29
  • Sentiment: Risk-On

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

Previous Session

Major U.S. indices closed mostly higher on Wednesday, June 30 in mostly higher volume. NASDAQ Composite closed down. Dow Jones Transportation Average traded in lower volume. S&P 500 made all-time closing and intraday highs. Wilshire 5000 Total Market Index made an all-time closing high.

From Briefing.com:

The S&P 500 increased 0.1% on Wednesday, and closed at a record high, as money flowed into the value stocks on this final day of the second quarter. Relative to the benchmark index, the Dow Jones Industrial Average (+0.6%) outperformed, the Russell 2000 (+0.1%) performed in-line, and the Nasdaq Composite (-0.2%) underperformed. The energy sector (+1.3%) set the winning pace with a gain over 1.0%, followed by industrials (+0.8%), consumer staples (+0.7%), and financials (+0.5%). The information technology sector (-0.1%) limited the broader advance with a slight decline, although the real estate sector (-0.8%) declined the most. […] The ADP Employment Change report estimated the addition of 692,000 private-sector payrolls in June (Briefing.com consensus 400,000) following a downwardly revised 886,000 increase (from 978,000) in May. Pending home sales rose 8.0% m/m in May following a 4.4% decline in April. The Chicago PMI decreased to 66.1 in June (Briefing.com consensus 70.0) from 75.2 in May. The weekly MBA Mortgage Applications Index fell 6.9% following a 2.1% increase in the prior week. […] Russell 2000 +17.0% YTD S&P 500 +14.4% YTD Dow Jones Industrial Average +12.7% YTD Nasdaq Composite +12.5% YTD Overseas:  Europe: DAX -1.0%, FTSE -0.7%, CAC -0.9% Asia: Nikkei -0.1%, Hang Seng -0.5%, Shanghai +0.5% Commodities:  Crude Oil +0.44 @ 73.53 Nat Gas +0.01 @ 3.65 Gold +6.60 @ 1770.40 Silver +0.34 @ 26.19 Copper +0.02 @ 4.29