Wednesday, October 25–Jim Wyckoff’s Early Morning Web Log
OVERNIGHT/EARLY MORNING DEVELOPMENTS
NOTE: I want to make my blog reports as useful as possible to you, my valued reader. Please email me at jim@jimwyckoff.com if you have any suggestions on how to make my blog reports even more valuable to you. Thanks.–Jim
There was no real feature in overnight/early morning trading today. Treasuries are weaker and stock indexes are firmer. The U.S. dollar is slightly lower today and crude oil is firmer.
U.S. STOCK INDEXES
The stock indexes are firmer in early morning electronic trading. Bulls still have some upside technical momentum on their side following recent gains to multi-month highs. Trading may become more active this afternoon, following the release of the FOMC meeting’s results.
December S&P 500: The shorter-term moving averages (4-, 9- and 18-day) are still 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 to bearish today. Today, shorter-term technical support comes in at Tuesday’s low of 1,378.10. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at 1,375.00. Upside resistance for active traders today is located at 1,390.00. Buy stops are likely located just above that price level, and then more buy stops are likely located just above chart resistance at 1,395.00. Wyckoff’s Intra-day Market Rating: 7
PIVOT POINT LEVELS FOR DECEMBER S&P 500:
Pivot:———— 1,382.85
1st Support:—— 1,380.05
2nd Support:—— 1,375.25
1st Resistance:— 1,387.65
2nd Resistance:— 1,390.50
December Russell 2000: The shorter-term moving averages (4- 9-and 18-day) are turning bearish today. The 4-day moving average is below the 9-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 this week’s low of 761.25. Sell stops likely reside just below that level, and then more sell stops are likely located just below technical support at 755.00. On the upside, short-term resistance is seen at 770.00. Buy stops are likely located just above that level. More buy stops are likely located just above resistance at the October high of 777.30. Wyckoff’s Intra-Day Market Rating: 6.0
PIVOT POINT LEVELS FOR DECEMBER RUSSELL 2000:
Pivot:———— 766.40
1st Support:—— 764.50
2nd Support:—— 761.65
1st Resistance:— 769.25
2nd Resistance:— 771.15
December Dow: For today, sell stops likely reside just below support at Tuesday’s low of 12,130 and then more stops just below support at 12,100. Buy stops likely reside just above shorter-term technical resistance at 12,200 and then more buy stops just above resistance at 12,250. 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 bullish for today. Wyckoff’s Intra-Day Market Rating: 8.0
PIVOT POINT LEVELS FOR DECEMBER DOW:
Pivot:———— 12,163
1st Support:—— 12,143
2nd Support:—— 12,111
1st Resistance:— 12,195
2nd Resistance:— 12,215
U.S. TREASURY BONDS AND NOTES
U.S. T-Bonds and T-Notes are weaker early today. Bears have taken near-term technical control of the markets, as downtrend lines are in place from the recent highs. Trading should be quieter up to the early-afternoon release of the FOMC meeting results. Then, look for more active trading into the close.
December U.S. T-Bonds: Shorter-term moving averages (4- 9- 18-day) are bearish today. The 4-day moving average is below the 9-day today. The 9-day is below the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral to bearish for today. Shorter-term technical resistance lies at 110 8/32. Buy stops likely reside just above that level. More buy stops likely reside just above technical resistance at this week’s high of 110 19/32. Shorter-term technical support lies at this week’s low of 109 27/32. Sell stops likely reside just below that level. More sell stops are likely located below support at the September low of 109 25/32. Wyckoff’s Intra-Day Market Rating: 4.0
PIVOT POINT LEVELS FOR DECEMBER T-BONDS:
Pivot:———– 110 4/32
1st Support:—– 109 31/32
2nd Support:—– 109 27/32
1st Resistance:– 110 8/32
2nd Resistance:– 110 13/32
December 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 this week’s high of 107.00.0, and more buy stops are likely located just above resistance at 107.08.0. Shorter-term moving averages are bearish for today. The 4-day moving average is below the 9-day. The 9-day is below the 18-day moving average. Sell stop orders are likely located just below support at this week’s low of 106.19.0, and then more sell stops just below support at the September low of 106.17.5. Wyckoff’s Intra Day Market Rating: 4.0
PIVOT POINT LEVELS FOR DECEMBER T-NOTES:
Pivot:———— 106.24.0
1st Support:—— 106.22.0
2nd Support:—— 106.20.0
1st Resistance:— 106.26.0
2nd Resistance:— 106.28.0
