October 17–Jim Wyckoff’s Early Morning Web Log
OVERNIGHT/EARLY MORNING DEVELOPMENTS
There was no major feature in overnight/early morning trading today. Treasury futures and stock indexes are firmer. The U.S. dollar and crude oil are weaker, and gold is firmer today. Traders are awaiting the key Consumer Price Index report today.
U.S. STOCK INDEXES
The stock indexes are slightly higher in early morning electronic trading. Bulls still have upside technical momentum on their side following recent gains to multi-month highs. But some more profit-taking pressure could set in today.
December 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 and 18-day. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are neutral today. Today, shorter-term technical support comes in at 1,370.00. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at Tuesday’s low of 1,364.10. Upside resistance for active traders today is located at Tuesday’s high of 1,376.00. Buy stops are likely located just above that price level, and then more buy stops are likely located just above chart resistance at the contract high of 1,378.10. Wyckoff’s Intra-day Market Rating: 7
PIVOT POINT LEVELS FOR DECEMBER S&P 500:
Pivot:———— 1,370.60
1st Support:—— 1,365.20
2nd Support:—— 1,358.70
1st Resistance:— 1,377.10
2nd Resistance:— 1,382.50
December Russell 2000: The shorter-term moving averages (4- 9-and 18-day) are bullish today. The 4-day moving average is above the 9-day and 18-day. The 9-day moving average is above the 18-day. Short-term oscillators (RSI, slow stochastics) are bearish early today. Today, shorter-term technical support is located at Tuesday’s low of 764.00. Sell stops likely reside just below that level, and then more sell stops are likely located just below technical support at 760.00. On the upside, short-term resistance is seen at Tuesday’s high of 772.10. Buy stops are likely located just above that level. More buy stops are likely located just above resistance at this week’s high of 775.00. Wyckoff’s Intra-Day Market Rating: 7.0
PIVOT POINT LEVELS FOR DECEMBER RUSSELL 2000:
Pivot:———— 768.80
1st Support:—— 765.50
2nd Support:—— 760.70
1st Resistance:— 773.60
2nd Resistance:— 776.90
December Dow: For today, sell stops likely reside just below support at 12,000 and then more stops just below support at Tuesday’s low of 11,937. Buy stops likely reside just above shorter-term technical resistance at Monday’s contract high of 12,050 and then more buy stops just above resistance at 12,100. Shorter-term moving averages are bullish, as the 4-day moving average is above the 9-day and 18-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 DECEMBER DOW:
Pivot:———— 11,994
1st Support:—— 11,957
2nd Support:—— 11,901
1st Resistance:— 12,050
2nd Resistance:— 12,087
U.S. TREASURY BONDS AND NOTES
U.S. T-Bonds and T-Notes are slightly higher early today. Bulls are regaining some near-term upside technical momentum.
December U.S. T-Bonds: Shorter-term moving averages (4- 9- 18-day) are still bearish today. The 4-day moving average is below the 9-day and 18-day, but is turning up. The 9-day is below the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish for today. Shorter-term technical resistance lies at 111 even. Buy stops likely reside just above that level. More buy stops likely reside just above technical resistance at Tuesday’s high of 111 6/32. Shorter-term technical support lies at Tuesday’s low of 110 15/32. Sell stops likely reside just below that level. More sell stops are likely located below support at last week’s low of 110 7/32. Wyckoff’s Intra-Day Market Rating: 6.0
PIVOT POINT LEVELS FOR DECEMBER T-BONDS:
Pivot:———– 110 25/32
1st Support:—– 110 13/32
2nd Support:—– 110 2/32
1st Resistance:– 111 4/32
2nd Resistance:– 111 16/32
December U.S. T-Notes: Shorter-term oscillators (RSI, slow stochastics) are bullish for today. Buy stops likely reside just above shorter-term technical resistance at 107.10.0, and more buy stops are likely located just above resistance at Tuesday’s high of 107.14.0. Shorter-term moving averages are still bearish for today. The 4-day moving average is below the 9-day and 18-day, but is turning higher. The 9-day is below the 18-day moving average. Sell stop orders are likely located just below support at 107.00.0, and then more sell stops just below support at last week’s low of 106.25.5. Wyckoff’s Intra Day Market Rating: 6.0
PIVOT POINT LEVELS FOR DECEMBER T-NOTES:
Pivot:———— 107.06.0
1st Support:—— 106.31.0
2nd Support:—— 106.24.0
1st Resistance:— 107.13.0
2nd Resistance:— 107.20.0
