OVERNIGHT/EARLY MORNING DEVELOPMENTS

There is no real feature in overnight/early morning trading, as traders awaited the all-important jobs report, due for release at 8:30 a.m. EDT. Crude oil is firmer and gold is weaker. U.S. stock indexes are slightly higher and Treasuries were near steady. The U.S. dollar was also steady early.

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U.S. ECONOMIC REPORTS/EVENTS

On tap for today is the monthly U.S. employment report, the ECRI inflation gauge, the University of Michigan consumer sentiment index, the ISM manufacturing index and construction spending. Fed chairman Bernanke speaks today in South Carolina.

U.S. STOCK INDEXES

The stock indexes are slightly higher in early morning electronic trading, and were awaiting the jobs data. Bulls this week have regained near-term technical momentum.

September S&P 500: The shorter-term moving averages (4-, 9- and 18-day) are bullish today. The 4-day moving average is above the 9-day moving average. The 9-day is still above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral for today. Today, shorter-term technical support comes in at 1,300.00. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at this week’s low of 1,294.70. Upside resistance for active traders today is located at this week’s high of 1,308.70. Buy stops are likely located just above that price level, and then more buy stops are likely located just above chart resistance at 1,312.00. Wyckoff’s Intra-day Market Rating: 7.0

PIVOT POINT LEVELS FOR S&P 500:

Pivot:———— 1,305.70
1st Support:—— 1,303.00
2nd Support:—— 1,300.40
1st Resistance:— 1,308.30
2nd Resistance:— 1,311.00

September Nasdaq: The shorter-term moving averages (4- 9- and 18-day) are bullish today. The 4-day moving average is above the 9-day moving average. The 9-day moving average is still above the 18-day. Short-term oscillators (RSI, slow stochastics) are neutral for today. Today, shorter-term technical support is located at this week’s low of 1,556.00. Sell stops likely reside just below that level, and then more sell stops likely reside below support at last week’s low of 1,546.50. On the upside, short-term resistance is seen at the August high of 1,591.50. Heavier buy stops are likely located just above that level. More buy stops are likely located just above resistance at 1,600.00. Wyckoff’s Intra-Day Market Rating: 6.5

PIVOT POINT LEVELS FOR NASDAQ:

Pivot:———— 1,584.00
1st Support:—— 1,578.00
2nd Support:—— 1,573.00
1st Resistance:— 1,589.00
2nd Resistance:— 1,595.00

September Dow: For today, sell stops likely reside just below support at this week’s low of 11,295 and then more stops just below support at 11,250. Buy stops likely reside just above shorter-term technical resistance at this week’s high of 11,420 and then more buy stops just above resistance at 11,450. Shorter-term moving averages are bullish today, as the 4-day moving average is moving above the 9-day. The 9-day moving average is above the 18-day moving average. Shorter-term oscillators (RSI, slow stochastics) are neutral to bearish for today. Wyckoff’s Intra-Day Market Rating: 7.0

PIVOT POINT LEVELS FOR DOW:

Pivot:———— 11,397
1st Support:—— 11,374
2nd Support:—— 11,357
1st Resistance:— 11,414
2nd Resistance:— 11,437

U.S. TREASURY BONDS AND NOTES

Prices were near steady in early trading in Chicago. The bulls still have near-term technical momentum and are still looking for more on the upside in the near term. However, some profit-taking pressure would not be surprising soon. Trading could be volatile after the jobs report this morning.

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. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bearish for today. Shorter-term technical resistance lies at the overnight high of 110 27/32. Buy stops likely lie just above that level. More buy stops likely reside just above technical resistance at 111 even. Shorter-term technical support lies at the overnight low of 110 19/32. Sell stops likely reside just below that level. More sell stops are likely located below support at 110 9/32. Wyckoff’s Intra-Day Market Rating: 7.0

PIVOT POINT LEVELS FOR T-BONDS:

Pivot:———– 110 18/32
1st Support:—– 110 12/32
2nd Support:—– 110 4/32
1st Resistance:– 110 26/32
2nd Resistance:– 111 even

September U.S. T-Notes: Shorter-term oscillators (RSI, slow stochastics) are neutral for today. Buy stops likely reside just above shorter-term technical resistance at the overnight high of 107.16.0, and more buy stops are likely located just above resistance at 107.24.0. Shorter-term moving averages are bullish today. The 4-day moving average is above the 9-day. The 9-day is above the 18-day moving average. Sell stop orders are likely located just below support at 107.10.0, and then more sell stops just below support at 107.00.0. Wyckoff’s Intra Day Market Rating: 7.0

PIVOT POINT LEVELS FOR T-NOTES:

Pivot:———— 107.11.0
1st Support:—— 107.07.0
2nd Support:—— 107.00.0
1st Resistance:— 107.18.0
2nd Resistance:— 107.22.0