Tuesday’s Futures Setups

The September S&P 500
futures stock index
(
SPU2 |
Quote |
Chart |
News |
PowerRating) is going through a “corrective
bounce,” a type of rebound often seen in down-trending bear markets. We are not
yet out of the woods, but the positive bias has helped bring back more money
from the sidelines.

While it looks like this may be the bottom that many traders and investors are
looking for, they should not become overly excited and be expecting any big
V-Bottom reversal. The SPU2 is just about ready to hit the 20-day moving average
on the daily chart. The key is to proceed with caution, always with stop losses
on trades. The Sept S&Ps closed at 893.70, up 40.00 or 4.72% points.

The Nasdaq 100 for September
(
NDU2 |
Quote |
Chart |
News |
PowerRating)
had a nice boost today pulling up and above the downtrend resistance line. A
move above this zone could have the Nasdaq testing its resistance at 981, which
is the 20-day moving average and then the secondary resistance at 1,000. The
Sept. Nasdaq 100 closed at 961.50 up 49.00 or 5.37%.

The September dollar
(
DXU2 |
Quote |
Chart |
News |
PowerRating) has
rallied for the second session in a row. On a daily chart, the DXU2 looks like
it has formed a bottom island reversal, which could be bullish for the
greenback. Overhead resistance is at 108 and secondary resistance is at 111.
DXU2 ended the session at 107.40 up .51.

There are positive signs of more upward
movement in the S&Ps. For positive indicators look at the TradingMarkets.com
Market Bias Indicators


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