David Chojnacki S1F Market Technician
The Market moved to the upside at the open, but quickly lost momentum and began a slow sell-off. The selling accelerated in the last hour, leaving the indices to finish mixed. At the close, the DJIA was up 0.37%, the S&P losing 0.14 of a point, and the Nasdaq100, the weakest in the session, giving up 0.43%. Breadth was slightly negative, 1.2 to 1, on just below average volume. RSI's remain in the mid 40's. ROC(10's) were mixed; the DJIA is negative and rising, the S&P negative and declining, and the Nasdaq100 positive and rising. The indices traded in a narrow range with little conviction of establishing a bias. Near term technicals have improved, with MACD's now above signal for the Nasdaq100 and the S&P and stronger RSI's. We remain above the 150D-SMA in the Nasdaq100(2508), but below in the S&P(1320). All three averages closed right near, but just below their 20D-SMA. Look for the 20D-SMA's to continue to act as near term resistance. The weakness in the Nasdaq100 yesterday, kept it from improving its short term technicals and reversing the bias to the upside. The Nasdaq100 will see resistance at 2538(20D-SMA), 2541(Fibonacci level) and at 2550. Support can be found at 2525 and 2512. The S&P closed just below its 150D-SMA(1320), its 20D-SMA(1316) and its Fibonacci level of 1320. These levels will act as resistance to the upside, along with 1325. Look for the S&P to find support at 1312 and 1294. The DJIA is finding resistance at its 20D-SMA(12476) and at 12587(50D-SMA). Look for support at 12400 and 12300. The VIX lost 1.9% to close at 21.72. It is now back in the lower end of the recent range, which has been 21 to 25, with a brief spike to 27. Futures this morning are lower versus fair value.
Major Economic Reports Today
Trade Balance-8:30am Wholesale Inventories-10:00am
ALL PRICES NOTED IN THIS PUBLICATION ARE AS OF THE CLOSE ON TRADING PRIOR TO TODAY'S DATE, UNLESS OTHERWISE INDICATED
This publication is neither an offer to sell nor a solicitation to buy any securities mentioned herein. The information contained herein is based on data obtained from recognized sources that are believed to be reliable. Street One Financial LLC (S1F) have not independently verified the facts, assumptions and estimates contained in this publication. Accordingly, no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions contained in this publication. The information contained in this publication is not and does not purport to be a complete analysis of every material fact respecting any company, industry, ETF or other security. Additional information concerning this publication may be available on request, if available. Many of the securities mentioned in this publication involve a higher degree of risk and more volatility than the securities of more established securities. For these and other reasons, the investments discussed in this publication may be unsuitable for investors depending on their specific investment objectives and financial position. Each investor should complete his or her own additional investigation and assessment prior to making investments in any securities. Transactions in securities mentioned herein may be effected only in those states where such securities are qualified for sale. Street One Technical Analysis LLC is an independently owned Company from Street One Financial LLC (S1F). S1F is an independent Company specializing in ETF's, equities, and options. S1F specializes in agency ETF/ETP, equities, and options trade execution. On the ETF/ETP end, S1F may work with the ETF issuers to understand their products more thoroughly and how they can complement an investor's portfolio