Consolidation
S&Ps are in a largely sideways trade at mid-day. We have a neutral area at 896.50. Above 898, things look somewhat better, and below 895 the market looks bearish. On the upside, as mentioned in the Morning Meeting, the targets are 900 and then a pivotal area at 905.50.
Nasdaq meanwhile is the strongest of the three major indices. The Dow continues to lag, which send a mixed signal for the equity markets. We have a neutral area at 1035-1036, and below that the market looks bearish under 1032. We’d have to sustain trading above 1040 for the outlook to improve.