Directional Bias For The Day:

• S&P Futures are higher at 9:15 AM; moved up more than 80 points since 9:30 PM on Sunday
• The odds are for an up day with elevated volatility – watch for a break below 3720.25
• The key economic data report due during the day:
  • Existing Home Sales ( 580M est.; prev. 584M ) at 10:00 AM

Directional Bias Before Open:

Key Levels:

• Critical support levels for S&P 500 are 3707.71, 3671.75, and 3642.93
• Critical resistance levels for S&P 500 are 3728.18, 3773.24, and 3783.26
• Key levels for E-mini futures: break above 3749.00, the high at 5:00 AM and a break below 3720.25, the low at 2:30 AM

Pre-Open

• On Friday at 4:00 PM, S&P futures (September 2022) closed at 3675.25 and the index closed at 3666.92 – a spread of about +8.25 points; the futures closed at 3675.75; the fair value is -0.50
• The S&P Emini futures closed at 3716.00 on Monday 20;
• Pre-NYSE session open, futures are higher – at 9:00 AM, S&P 500 futures were up by +17.25; Dow by +127; and NASDAQ by +356.76 from Monday’s close

Markets Around The World

• Markets in the East closed mostly higher – Shanghai closed lower
• European markets are mostly higher – Spain is lower
• Currencies (Compared to two weeks ago):
  

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

• Commodities (Compared to two weeks ago):
  • Energy futures are lower
  • Precious metals are lower
  • Industrial metals are lower
  • Soft commodities are mostly lower
• Treasuries (Compared to two weeks ago)
  • The 10-year yield closed at 3.281%, up +24.3 basis points from two weeks ago;
  • The 30-year is at 3.353%, up +16.2 basis points;
  • The 2-year yield is at 3.192%, up +47.2 basis points;
  • The 10-Year-&-2-Year spread is at 0.094, up from 0.318
  • The 30-Year-&-10-Year spread is at 0.076, up from 0.153
• VIX
  • At 30.45 @ 9:00 AM; down from the last close; below the 5-day SMA;
  • Recent high = 35.05 on June 13; low = 24.94 on May 4
  • Sentiment: Risk-On

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

Previous Session

Major U.S. indices closed mixed on Friday, June 17, in mostly higher volume. Dow Jones Industrial Average, Dow Transportation Average, and NYSE Composite closed down. S&P 500 and Russell 20000. Most major indices made small Harami candles.

For the week, major US indices closed down in higher volume. Markets in Asia and Europe closed down. China was up. The dollar index was up and most commodities were down for the week. The US Treasury yields moved up. All S&P sectors closed down for the week.

From Briefing.com:

[…] The market saw high volume on this quadruple witching options expiration day which left the S&P 500 up 0.2% for the day and down 5.8% for the week; the Nasdaq up 1.4% for the day and down 4.8% for the week; and the Dow Jones Industrial Average down 0.1% for the day and down 4.8% for the week. […] Six of the 11 S&P 500 sectors closed in the green to end the week. The heavily weighted communication services (+1.3%), consumer discretionary (+1.2%), and information technology (+1.0%) sectors finished atop today’s leaderboard. […] The laggards, besides energy, were utilities (-1.0%), consumer staples (-0.4%), and industrials (-0.2%). Treasuries finished a down week on a mostly higher note with the 10-yr yield falling seven basis points to 3.24%. The 2-yr note underperformed, pressuring the spread between the 10-yr yield and the 2-yr yield to just six basis points. […] Total industrial production increased 0.2% month-over-month in May (Briefing.com consensus 0.5%) following an upwardly revised 1.4% increase (from 1.1%) in April. The capacity utilization rate increased to 79.0% (Briefing.com consensus 79.3%) from a downwardly revised 78.9% (from 79.0%) in April. […] The Leading Economic Index for May was down 0.4% after decreasing a revised 0.4% (from -0.3%) in April. […] · Dow Jones Industrial Average -17.8% YTD · S&P 400 -21.8% YTD · S&P 500 -22.9% YTD · Russell 2000 -25.8% YTD · Nasdaq Composite -31.0% YTD