September 22–Jim Wyckoff’s Early Morning Web Log
OVERNIGHT/EARLY MORNING DEVELOPMENTS
The feature in overnight/early morning trading today is stronger Treasury prices. Stock indexes are weaker. Gold is solidly higher and crude oil prices are firmer. The U.S. dollar is slightly lower early today.
U.S. ECONOMIC REPORTS/EVENTS
There are no major reports on tap for today.
U.S. STOCK INDEXES
The stock indexes are weaker in early morning electronic trading, on follow-through from solid losses Thursday. Bulls are fading a bit and need to step up and show some power today.
December S&P 500: The shorter-term moving averages (4-, 9- and 18-day) are turning bearish today. The 4-day moving average is turning down. The 9-day is above the 18-day moving average. Short-term oscillators (RSI, slow stochastics) are bearish for today. Today, shorter-term technical support comes in at Thursday’s low of 1,325.60. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at this week’s low of 1,323.00. Upside resistance for active traders today is located at the overnight high of 1,331.40. Buy stops are likely located just above that price level, and then heavier buy stops are likely located just above chart resistance at Thursday’s high of 1,339.90. Wyckoff’s Intra-day Market Rating: 5.0
PIVOT POINT LEVELS FOR DECEMBER S&P 500:
Pivot:———— 1,331.95
1st Support:—— 1,324.00
2nd Support:—— 1,317.65
1st Resistance:— 1,338.25
2nd Resistance:— 1,346.25
December Russell 2000: The shorter-term moving averages (4- 9-and 18-day) are turning bearish today. The 4-day moving average is turning down. 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 Thursday’s low of 730.00. Sell stops likely reside just below that level, and then more sell stops are likely located just below technical support at Wednesday’s low of 725.00. On the upside, short-term resistance is seen at 740.00. Buy stops are likely located just above that level. More buy stops are likely located just above resistance at Thursday’s high of 747.20. Wyckoff’s Intra-Day Market Rating: 5.0
PIVOT POINT LEVELS FOR DECEMBER RUSSELL 2000:
Pivot:———— 736.90
1st Support:—— 726.70
2nd Support:—— 719.75
1st Resistance:— 743.90
2nd Resistance:— 754.15
December Dow: For today, sell stops likely reside just below support at Thursday’s low of 11,583 and then more stops just below support at this week’s low of 11,565. Buy stops likely reside just above shorter-term technical resistance at 11,665 and then heavier buy stops just above resistance at Thursday’s high of 11,720. Shorter-term moving averages are turning bearish, as the 4-day moving average is turning down. The 9-day 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: 5.0
PIVOT POINT LEVELS FOR DECEMBER DOW:
Pivot:———— 11,642
1st Support:—— 11,564
2nd Support:—— 11,505
1st Resistance:— 11,701
2nd Resistance:— 11,779
U.S. TREASURY BONDS AND NOTES
Prices are solidly higher in early trading in Chicago. Bulls have solid near-term technical momentum after strong gains to fresh multi-month highs overnight.
December U.S. T-Bonds: Prices hit a fresh 6.5-month high overnight. Shorter-term moving averages (4- 9- 18-day) are bullish today. The 4-day moving average is above the 9-day and is above the 18-day. The 9-day is above the 18-day moving average. Oscillators (RSI, slow stochastics) are bullish for today. Shorter-term technical resistance lies at the overnight high of 112 17/32. Buy stops likely reside just above that level. More buy stops likely reside just above technical resistance at 112 24/32. Shorter-term technical support lies at the overnight low of 112 2/32. Sell stops likely reside just below that level. More sell stops are likely located below support at 111 24/32. Wyckoff’s Intra-Day Market Rating: 9.0
PIVOT POINT LEVELS FOR DECEMBER T-BONDS:
Pivot:———– 111 25/32
1st Support:—– 111 12/32
2nd Support:—– 110 21/32
1st Resistance:– 112 16/32
2nd Resistance:– 112 29/32
December U.S. T-Notes: Prices hit a fresh eight-month high overight. Shorter-term oscillators (RSI, slow stochastics) are bullish for today. Buy stops likely reside just above shorter-term technical resistance at the overnight high of 108.10.5, and more buy stops are likely located just above resistance at 108.16.0. Shorter-term moving averages are bullish for today. The 4-day moving average is above the 9-day and the 18-day. The 9-day is above the 18-day moving average. Sell stop orders are likely located just below support at the overnight low of 107.31.5, and then more sell stops just below support at 107.24.0. Wyckoff’s Intra Day Market Rating: 9.0
PIVOT POINT LEVELS FOR DECEMBER T-NOTES:
Pivot:———— 107.26.0
1st Support:—— 107.18.0
2nd Support:—— 107.01.0
1st Resistance:— 108.11.0
2nd Resistance:— 108.19.0
