Opening Lower
This morning, S&Ps are down 8.00 at 1086.
On the upside, we have 1088, 1091, 1092.50 and 1096. On the way up, 1091 will be a key area. If we can get above it and stay above it, we will relieve the downside pressure.
On the downside, we have 1084.50, 1081 and then 1078. If we get below this, we have a further targets at 1076.50, 1072. Between 1076.50 and 1072 is a big consolidation area.
Nasdaq is down 10 at 1379.50. We’re going to open in a pocket of support between 1380 and 1375. If we get below this, look for a move toward 1363. Along the way, 1368 to 1366 is support, and we expect a two-sided trade between 1363 and 1357.
On the upside, if we hold this opening support zone, the first upside target should be 1390. Expect some resistance between 1385 and 1387. Above 1390, look for a quick move to Friday’s high zone and the week’s high of 1403. And, be prepared for a pretty volatile, two-way trade from 1398 to 1408.
Final-hour buying helped the Dow on Friday. But we see choppy action in the market until it makes its next move — whether it be up or down.