Gold and oil are the dominant themes

Monday started the week off green for the Nasdaq 100 and Nas Composite, slightly green for the S&P 500 leaving the Dow Slightly red, but all were on VERY light volume.
It is safe to assume after this narrow range light volume day that today was almost a waste of time. Tech was strong today led by the semi’s, internets, hardware and software. But still a narrow range across the board on anemic volume.

Crude took it on the chin today to close down $2.39 at $58.36. We haven’t seen this level since July 2005. Supply excess is said to be the reason for the sell off and lacking demand. Gold finally cleared the $600 psychological barrier to close up $6.40 at $607.40 on the day. On a side note with crude pricing, Walmart said today that same store sales for October are expected to be lower, the low end consumer should be seeing the pump price drop and spending money, but America’s largest retailer is not reflecting this. The same store sales are expected out Thursday, but it is something to keep in mind as we see prices drop where is the money going? Let’s watch retail stocks as Thursday nears.

Tuesday’s the last day of October and we saw a market standing in place Friday and Monday. We are marking time up at these highs on light volume. Chicago PMI and Consumer confidence data at 10 could keep the market in range for the first half hour. Then we will look for volatility off the data. I still see some pullback potential given the indicators and lack of participation from buyers. Settling the month and then moving into November is likely what the bulls have planned. Any data that shakes the inflation tree or reason to see crude rise would push us for the bigger pullback. We are definitely still trending higher and the market is still due for a correction. So Tuesday look for a quiet opening then some early weakness.

Economic data for the
Week of Oct. 30th— Nov 3rd: Tuesday 08:30 Employment Cost Index, 10:00 Chicago PMI, 10:00 Consumer Confidence, Wednesday 00:00 Auto Sales, 00:00 Truck Sales, 10:00 Construction Spending, 10:00 ISM Index, 10:30 Crude Inventories, Thursday 08:30 Initial Claims, 08:30 Productivity-Prel., 10:00 Factory Orders, Friday 08:30 Nonfarm Payrolls, 08:30 Unemployment Rate, 08:30 Hourly Earnings, 08:30 Average Workweek, 10:00 ISM Services.

Some earnings for the week of Oct 30th — Nov 3rd: Tuesday pre market — LNT, AEP, BIIB, BJS, ITWO, INFS, IACI, MRO, MSO, PNC, PG, Q, RCL, SAFC, X, UAUA, UARM, VLO, and after the bell — BIDU, BBOX, CMG, DWA, EOG, OII, WYNN. Wednesday pre market — AGN, BKC, CI, DVN, GRMN, MMC, MA, MYL, NEM, NBL, ZEUS, PTEN, TWX, UPL, ZBRA and after the bell — AHS, XRAY, GPRO, LVS, MXIM, OPNT, OSUR, PRU, WCG. Thursday pre market — AGU, ABC, BBI, CSK, DJO, ENCY, IP, MGM, OSG, THE, RIG, VPHM, and after the bell — APCC, BIO, CEPH, CSC, DLLR, ERTS, HLTH, ICOS, IPAS, JCOM, LF, PDLI, QCOM, SINA, WEBM, WFMI. Friday pre market — DUK, OMG, THQI and after the bell — LNG.

ES (S&P 500 e-mini) Monday closed red slightly. The range was 8.25 points on the day, very narrow and pretty dull. Tuesday’s pivot is 1383, the weekly pivot is 1384.25. Again we will look for pullback early into 1380.50 and then if that support breaks we should see much deeper pullback. Intraday Support: 1381.75, 1380.50, 1378.75, 1375.5, 1373 and 1370.50. Resistance: 1387, 1391.75 and 1395.25.

Good trading to everyone.

Teresa Appleton has traded equities and options for
nine years and futures for seven. She founder and CEO of TradeLogic, LLC. For
more information about Teresa and the training she offers stock, options and
futures traders,

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