Market Place Awaits Thursday's, Friday's Key Events

by

* LATEST MARKET DEVELOPMENTS *

In overnight news, the Bank of England left its interest rates unchanged, as expected. Traders are awaiting the Thursday press conference from European Central Bank president Mario Draghi. Most analysts expect the ECB to keep its interest rates unchanged. On the geopolitical front, fresh violence in Syria and rising tensions between Iran and Turkey pushed the market place more toward risk aversion overnight. China is on holiday this week, celebrating Golden Week. Important U.S. economic data is on tap to close out the week, including the FOMC minutes on Thursday afternoon and the employment report on Friday morning. Recent FOMC minutes releases have been very market-sensitive. Friday's jobs report is expected to find the key non-farm payrolls figure rising by 118,000 in September. U.S. economic data due for release Thursday includes the FOMC minutes from the last meeting, the Challenger job cut report, the weekly jobless claims report, ICSC chain store sales, and manufacturers' shipments and orders.--Jim

U.S. STOCK INDEXES

S&P 500 futures: The shorter-term moving averages (4-, 9- and 18-day) are neutral early today. The 4-day moving average is above the 9-day. The 9-day is below the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bullish early today. Today, shorter-term technical resistance comes in at last week's high of 1,456.60 and then at 1,461.50. Buy stops likely reside just above those levels. Downside support for active traders today is located at the overnight low of 1,444.10 and then at Wednesday's low of 1,436.00. Sell stops are likely located just below those levels. Wyckoff's Intra-day Market Rating: 5.5

Nasdaq index futures: The shorter-term moving averages (4- 9-and 18-day) are still bearish early today. The 4-day moving average is below the 9-day and 18-day. The 9-day average is below the 18-day. Short-term oscillators (RSI, slow stochastics) are bullish early today. Shorter-term technical resistance is located at the overnight high of 2,826.75 and then at 2,836.25. Buy stops likely reside just
above those levels. On the downside, short-term support is seen at the overnight low of 2,808.25 and then at Wednesday's low of 2,788.00. Sell stops are likely located just below those levels. Wyckoff's Intra-Day Market Rating: 5.5

Dow futures: Sell stops likely reside just below technical support at 13,426 and then at 13,400. Buy stops likely reside just above technical resistance at 13,500 and then at this week's high of 13,525. Shorter-term moving averages are neutral early today, as the 4-day moving average is below 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 early today. Wyckoff's Intra-Day Market Rating: 5.5

U.S. TREASURY BONDS AND NOTES

December U.S. T-Bonds: Prices are weaker today. Bulls still have the overall near-term technical advantage. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at the overnight high of 149 28/32 and then at last week's high of 150 9/32. Buy stops likely reside just above those levels. Shorter-term technical support lies at the overnight low of 149 11/32 and then at this week's low of 149 3/32. Sell stops likely reside just below those levels. Wyckoff's Intra-Day Market Rating: 4.5

December U.S. T-Notes: Prices are weaker early today. Bulls still have the overall near-term technical advantage. Shorter-term moving averages (4- 9- 18-day) are bullish early today. The 4-day moving average is above the 9-day and 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral early today. Shorter-term resistance lies at the overnight high of 133.24.5 and then at last week's high of 133.27.0. Buy stops likely reside just above those levels. Shorter-term technical support lies at Wednesday's low of 133.16.5 and then at this week's low of 133.11.5. Sell stops likely reside just below those levels. Wyckoff's Intra-Day Market Rating: 4.5

U.S. DOLLAR INDEX

The December U.S. dollar index is weaker in early U.S. trading today. Bears still have the overall near-term technical advantage. Slow stochastics for the dollar index are bearish early today. The dollar index finds shorter-term technical resistance at the overnight high of 80.00 and then at this week's high of 80.25. Shorter-term support is seen at the overnight low of 79.77 and then at this week's low of 79.55. Wyckoff's Intra Day Market Rating: 4.0

NYMEX CRUDE OIL

Crude oil prices are firmer early today, on short covering from Wednesday's strong losses. Bears are still presently in near-term technical control. In November Nymex crude, look for buy stops to reside just above resistance at $90.00 and then at $91.00. Look for sell stops just below technical support at $88.00 and then at Wednesday's low of $87.70. Wyckoff's Intra-Day Market Rating: 5.5

GRAINS

Markets were higher in overnight trading, on some short covering from recent losses. The key "outside markets" are in a bullish posture for the grains early today, as the U.S. dollar index is weaker and crude oil prices are firmer. The grain market bulls have faded amid harvest pressure and weakening worldwide demand for grains at higher price levels. Traders will closely examine this morning's weekly USDA export sales report.

0 Comments

Join In on this conversation, post a comment below.
No comments yet... Be the first to comment.

About the Author

Jim Wyckoff has been involved with the stock, financial and futures markets for more than 20 years. He was born and raised in Iowa, where he still resides.

Wyckoff became a financial journalist with Futures World News for many years, cutting his teeth as a reporter on the futures trading floors in Chicago and New York, where he covered every futures market traded in the United States at one time or another.

Not long after he began his career in financial journalism, he began studying technical analysis. By studying chart patterns and other technical indicators, he realized this approach to analyzing and trading markets could level the playing field between “professional insiders” in the markets and individual traders.

His extensive studies of technical analysis and knowledge of markets led to several positions, including chief technical analyst at several well-known companies. He says his mission is not just to generate profits for traders but to also provide them with educational and insightful information because, in the fascinating business of trading, one never stops learning.

Wyckoff received a Bachelor of Science degree at Iowa State University, graduating in 1984 with a major in journalism and a minor in economics. He and his wife have two children, a son in high school and a daughter in college.

When he’s not analyzing markets and educating traders, Wyckoff says he loves adventures, from driving a Jeep across the highest mountain pass in the continental United States to extreme winter camping in the Boundary Waters to hiking in the jungles of South America.

JimWyckoff

Membership is Free. Join Now in less than 5 seconds! Alternatively Join or Sign In here.