Consolidation
S&Ps are trading up 0.20 at 1229.40, in a range between roughly 1235 and 1218.
On the upside, the first level is 1231 and then a band from 1232 to 1235.50. Above that, we have key areas at 1237.50 and 1238.50. For the market to gain steam and really move ahead, we need to get above 1240.
On the downside, our first level is 1226.50 and then 1223.50 and a major area at 1222.50.
NASDAQ is down 6.00 pts at 1728, which is just off its Globex low of 1726. For today, the key will be a resistance zone between 1739 and 1750. If we get above 1750, on a 30-minute closing basis, we would expect a move to 1820.
On the support side, we have scale-down support between 1720 and 1700. If we get below 1700, look for a move back to yesterday’s low area — that was 1671, made right on the open. Again, we have critical support between 1680 and 1670.
The Dow settled up moderately yesterday. Banks and Drugs did well. This market continues to attempt to build a base.