Earnings Boost
S&Ps are trading up 8.00 at 1134 on the heels of some better-than-anticipated earnings reports.
Our first key area is going to be 1136.50-1137.50. To get above neutral, we must get over this zone. If we do, we’re going to anticipate the market exceeding yesterday’s high of 1141.50.
On the support side, we expect minor support between 1132.50 and 1131.50. If we get below this, the next support is 1129.80-1129. If we get below 1129, look for the gap to be filled at 1126.
Nasdaq is trading up 26.00 at 1589. Above 1589, we are going to target a trade to yesterday’s high zone in both the afternoon and the session between 1598 and 1602. Again, for the upside to develop we need to maintain a trade between 1595 and 1610.
On the downside below 1588, the first support area is 1582-80. Under this we have 1576-73. For us, the key will be how much time we spend below 1580. The more time we spend between 1580 and 1573, the better we believe the odds are for a move back to yesterday’s low of 1561.