Up, But Resistance Ahead
S&P futures (June now the front month, SPM) are up strongly on the day, following yesterday’s reversal. But this market is heading into a tough area of resistance. Above 819, the uptrend is still intact with targets at 821, 823, and 824.50-825. As stated in the Morning Meeting, we would expect major resistance around last week’s highs of 830.
On the downside, if S&Ps break below 817, we should be headed for 816 and below that 814.50.
For Nasdaq futures (June front month, NDM), as long as they are above 1010 the uptrend is intact. Upside targets are at 1015, then 1017.50-1018, and 1020-1021.
On the downside, if Nasdaq goes belwo 1005 it will break the trend.