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Today's Technical Outlook - 6/27/2017

Summary

Major Economic Reports Today Consumer Confidence-10:00am

Market Summary David Chojnacki – Market Technician, StreetOne Technical Analysis

We opened the week with Durable Goods Orders  disappointing investors.  The Transportation sector was weak pulling down on the entire report.  Equities got off to a mixed start, with the DJIA and SPX moving higher at the open, and the NDX pulling back on Techs.   All three major averages got a boost after the Euro markets closed, but it was not enough to get the NDX into positive territory.  The NDX finished with moderate losses.   The DJIA and SPX eked out small gains, but were near their lows of the day at the final bell.   At the close, the DJIA slipped 14.7 points, the SPX ended nearly flat, down 0.77 of a point, and the NDX fell 0.44%.  Breadth was positive, 2 to 1, on weak volume.   ROC(10)’s advanced in the session for all three indices, and remained in positive territory.  RSI’s were little changed, with the DJIA still holding the lead with a 63.5.  The SPX is at 59.1 and the NDX is now at 53.8.  The DJIA had its MACD cross below signal in the session, joining the SPX and NDX.   We continue with a caution note near term, though some of the effect is from sideways trading.  The ARMS index ended the day at 0.8, a slightly bullish reading.   It appeared the Durables Report had a minimal impact on the markets, however, investors were selling Techs again and this had an impact on the NDX.   The NDX fell back below its 20D-SMA of 5785, closing at 5777.  Its 50D-SMA sits at 5681, which provided support last week.    As noted earlier the DJIA MACD crossed below signal, mostly resulting from sideways action.  It remains comfortably above its 20D-SMA of 21281. The SPX found support just above its 20D-SMA(2433) at 2437.  It met resistance right at its Bollinger Band of 2450 in the session.   The VIX fell 1.2% to finish at 9.90.   Near term support for the NDX is at 5775 and 5750.   Near term resistance is at 5785 and 5800. Near term support for the SPX is at 2433, 2425 and 2412. Near term resistance is at 2450, 2453 and 2462.  Europe is moderately lower in early trade.  US Futures are pointing lower.                                

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