Targets Hit
S&Ps are trading down 5.80 pts at 1115.20. Yesterday the cash took out the post-attack highs and settled at a new post-attack high at 1118.86. For today, on the upside, we have 1116, 1118 and a key area between 1119.50 and 1120.50.
On the downside, we have 1112.50, and the old high is at 1112.80. Another previous high is now support at 1110.50, then 1105.50. We think there is a possibility that the market may test these clusters of support today.
Nasdaq is trading down 20.50 at 1516.50. Not as bad as it sounds since the market settled dramatically above cash and near the high of the day at 1537. For today, we have support between 1518 and 1512. If we get below this, there is a chance for 1498 to trade. On the way, 1507 to 1505 is support. We have scale-down support between 1499 and 1489.
On the upside, expect resistance between 1525 and 1528, and then 1533-39.
The Dow missed filling its Sept. 10 gap by 16 points on the close. Nevertheless, it settled at the highest level since Sept. 10.