Pre-market update:

  • Asian markets traded 0.3% lower. 
  • European markets are trading 0.2% higher.
  • US futures are trading 0.1% higher ahead of the market open. 


Economic reports due out (all times are eastern): Treasury Budget (2)

Technical Outlook (SPX):

  • As predicted in yesterday’s trading plan the SPX put in the day’s low in the first 30-minutes and spent the rest of the day pushing towards break-even (it only managed to get 65% of the way there). 
  • The short-term trend-line off of 6/12 lows held today, albeit barely. 
  • As per the previous time SPX tested the 20-day MA, it rallied higher off of the moving average. 
  • Volume on the SPY was elevated again. 
  • SPX well off of overbought conditions. 
  • With the huge hammer candle today, SPX sets up for a possible rally today. 
  • Short-term price support at 1964. 
  • No identifiable price pattern on the SPX 30-minute chart. 
  • We are seeing headline risk creep back into the market with Portugal bank problems, it will be interesting to see whether this is a one-time even or whether this leads to pipeline of bearish news. 
  • SPX hasn’t seen a move of more than 1% in either direction since April. 
  • Watch for a break of 1944 which would establish a new lower-low for SPX today. 
  • The market doesn’t care about the economy nor earnings. That is not what is driving it. The market only cares about what the Fed is doing to keep equities propped up. 


My Trades:

  • Sold CX yesterday at $13.26 for a 0.1% gain. 
  • Added two additional positions yesterday. . 
  • Will look to add 1-2 new positions today. 
  • Remain long AAPL at 91.49, GOOG at $580.51, BKD at $33.79, AXL at 19.73, TSLA at $219.55
  • 70% Long / 30% Cash
  • Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX:

SP 500 Market Analysis 7-11-14