Negative Trend
S&Ps are trading up 1.10 at 1193.10 this morning, but after yesterday’s close are showing that the market is in a short-term negative trend.
Important areas to watch on the upside are 1196, then 1199, 1201.50 and 1205. We need to get above 1205 to move this market back to neutral. The longer the market stays under 1199, the downside objective of 1174 becomes more likely.
NASDAQ is down 2.50 at 1640. For today, the first leg of support is between 1633 and 1625. If we get through that, look for 1610. Along the way, 1613 to 1605 is support.
On the upside, we have resistance between 1655 and 1662. Above this, look for two-sided trading all the way up to 1680. A 30-minute close above 1680 targets a move back to yesterday’s high of 1712.
The Dow closed below 10,450, which was our breakout level. We’re now anticipating a move to 10,200.