OVERNIGHT/EARLY MORNING DEVELOPMENTS

The feature in overnight/early morning trading is sharply higher crude oil prices. U.S. stock indexes are lower in early trading, while the U.S. dollar is steady to higher. Treasuries are slightly lower in early trading. Gold is trading modestly higher.

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U.S. ECONOMIC REPORTS/EVENTS

On tap today is the consumer credit report report. It’s a light report day today, ahead of the all-important Federal Reserve FOMC meeting Tuesday.

U.S. STOCK INDEXES

The indexes are lower in early morning electronic trading. Seemingly bullish U.S. jobs data Friday morning failed to give the stock index bulls a lasting boost, as prices Friday closed well off their session highs. But bulls still have some near-term technical momentum on their side.

September S&P 500: Prices Friday hit a fresh two-month high and then backed off to close near-mid-range. The shorter-term moving averages (4-, 9- and 18-day) are still bullish. The 4-day moving average is above the 9-day and 18-day moving average. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bearish for today. Today, key shorter-term technical support comes in at Friday’s low of 1,278.00. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at 1,280.00. Shorter-term upside resistance for active traders today is located at the overnight high of 1,285.60. Buy stops are likely located just above that price level, and then heavier buy stops are likely located just above chart resistance at Friday’s high of 1,297.60. Wyckoff’s Intra-day Market Rating: 5.5

PIVOT POINT LEVELS FOR S&P 500:

Pivot:———— 1,287.25
1st Support:—— 1,276.75
2nd Support:—— 1,267.50
1st Resistance:— 1,296.50
2nd Resistance:— 1,306.75

September Nasdaq: The shorter-term moving averages (4- 9- and 18-day) are still bullish. The 4-day is above the 9-day and 18-day moving average. The 9-day moving average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are bearish for today. Today, shorter-term technical support is located at Friday’s low of 1,497.00. Sell stops likely reside just below that level, and then more sell stops likely reside below support at last week’s low of 1,483.50. On the upside, short-term resistance is seen at Friday’s high of 1,538.50. Heavier buy stops are likely located just above that level. More buy stops are then likely located just above resistance at 1,550.00. Wyckoff’s Intra-Day Market Rating: 5.0

PIVOT POINT LEVELS FOR NASDAQ:

Pivot:———— 1,517.00
1st Support:—— 1,495.50
2nd Support:—— 1,475.50
1st Resistance:— 1,537.00
2nd Resistance:— 1,558.50

September Dow: For today, sell stops likely reside just below support at Friday’s low of 11,211 and then more stops just below support at 11,161. Buy stops likely reside just above shorter-term technical resistance at 11,300 and then heavier buy stops just above resistance at Friday’s high of 11,375. Shorter-term moving averages fully bullish today, with the 4-day moving average above the 9-day and the 18-day today. The 9-day is moving average is above the 18-day moving average. Shorter-term oscillators (RSI, slow stochastics) are bearish for today. Wyckoff’s Intra-Day Market Rating: 6.0

PIVOT POINT LEVELS FOR DOW:

Pivot:———— 11,288
1st Support:—— 11,201
2nd Support:—— 11,124
1st Resistance:— 11,365
2nd Resistance:— 11,452

U.S. TREASURY BONDS AND NOTES

Both notes and bond prices are weaker in early trading in Chicago, on a mild corrective pullback from solid gains last week. The bulls still have good upside near-term technical momentum.

September U.S. T-Bonds: Shorter-term moving averages (4- 9- 18-day) are fully bullish today. The 4-day moving average is above the 9-day and 18-day. The 9-day is still above the 18-day moving average. Oscillators (RSI, slow stochastics) are bearish for today. Shorter-term technical resistance lies at Friday’s high of 109 15/32. Heavier buy stops likely lie just above that level. More buy stops also likely reside just above technical resistance at 110 even. Shorter-term technical support lies at 109 even. Sell stops likely reside just below that level. More sell stops are likely located below support at Friday’s low of 108 16/32. Wyckoff’s Intra-Day Market Rating: 7.0

PIVOT POINT LEVELS FOR T-BONDS:

Pivot:———– 109 2/32
1st Support:—– 108 22/32
2nd Support:—– 108 3/32
1st Resistance:– 109 21/32
2nd Resistance:– 110 1/32

September U.S. T-Notes: Shorter-term oscillators (RSI, slow stochastics) are bearish for today. Buy stops likely reside just above shorter-term technical resistance at today’s high of 106.19.0, and then heavier buy stops are likely located just above resistance at Friday’s high of 106.23.0. Shorter-term moving averages are still fully bullish today. The 4-day moving average is above the 9-day and 18-day. The 9-day is still above the 18-day moving average. Sell stop orders are likely located just below support at 106.07.0, and then more sell stops just below support at Friday’s low of 106.02.0. Wyckoff’s Intra Day Market Rating: 7.0

PIVOT POINT LEVELS FOR T-NOTES:

Pivot:———— 106.14.0
1st Support:—— 106.06.0
2nd Support:—— 105.25.0
1st Resistance:— 106.27.0
2nd Resistance:— 107.03.0