Looking for a Low Volatility Day

Thursday took back what Wednesday gave us plus some!
Higher volume on the NYSE leaving a distribution day and the Nasdaq slightly lower leaving a low volume fall. VERY slightly lower keep in mind. Red across the board and keeping us right in
a range. Up a day and down a day!

Crude closed down $1.14 to close at $54.23 after three up days a little pullback today came in. Gold down a buck to close at $646.20 on the day. Nat gas inventories showed a draw down but overall inventories are still high so the contract saw another sell off today.

The NASDAQ 100 and NASDAQ Composite both back through the 50dma, we are playing checkers. One white (up day) and one red (down) day with this market. But still staying in range and getting no where. As earnings continue to churn out and guidance is upbeat for the most part. But the market is not able to respond because we’ve pulled out all the stops to get up this high. So corrective action keeps trying to pull us in and then we see buyers buying the slightest of dips. But no continuation in either direction thus far.

Friday a few Dow components report pre-market and a little economic data will roll out. The market still has a little downside in it until we hit some support. Then I would expect bounce and congestion for the afternoon. No real reason to get in a hurry to close the week out
with this kind of action. Big economic data is due next week which will give us plenty of volatility. So closing Friday out quietly will not surprise me and to see very choppy light volume will also not be a real surprise.

Economic data for the week of January 22 —27: Friday 08:30 Durable Orders, 10:00 New Home Sales.

Some earnings for the week of January 22 — 27: Friday pre market CAT, CDWC, CCUR, FO, HAL, HON, IDXX, TROW and after the bell CHRT, EEP, NTY.

ES (S&P 500 e-mini) Friday’s pivot is 1434.25, the weekly is 1437.50. Look for a move into 1426.75 are and some buyers there. If the buyers don’t show up we may see as low as 1422.25 and then some upside to hold us into the weekend. Intra day support: 1427.50- 1426.75, 1425.25, 1422.25, 1419.50, 1417.75, 1412.25. Resistance to look for: 1431.50, 1434.25-1434.75, 1436, 1438, 1442.50. 60 minute chart is below.

I hope everyone has a great weekend.

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

click here.