The Blast From Oracle
Oracle’s earnings and positive news from its conference call has boosted the market this morning, with S&Ps up 10.40 pts at 1230.20 this morning. The key will be if the buying interest is sustained for the day.
We will most likely be opening up in the resistance zone that we’ve had for the past couple of sessions at 1227.50 and 1231.50. The key area is 1229.50 to 1231.50. If we get above this, we’re looking for 1237. Above 1237, we have resistance between 1239.50 and 1240.50.
Support is going to be found between 1225.50 and 1224. If we get below this, we think the odds are very strong that we will fill the gap open, taking us down to 1219.80, which is settlement. We would expect some support between 1220.50 and 1219.
NASDAQ is trading at 1755, which puts it up 52.50. This is above yesterday’s high of 1749 and above our resistance zone between 1730 and 1750. We have resistance between 1770 and 1777. If we get above this, we’re looking for 1820.
On the support side, look for 1750 to 1730 to be support/neutral. If we get below this, we’re looking for a move down to 1690. The first patch of support will be 1715 to 1705.
As for the Dow, it settled higher on the day on some buying interest. We continue to think this market is trying to find a base, and should continue to attempt to find it.