Market Updates

S&P Daily Pre-Market Prep 9/13/16

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Yesterday we had


Quoting 
After a big move day, we often get a push in the opposite direction, so a snap back up has to be one of our scenarios today. We also need to keep an eye on the market depth. If it's very low - in the low 100's, then it's going to be volatile and stops need to be adjusted accordingly.

And it was the snap back up we had. If we look at the long red box, this shows the attempts up towards 2100 we'd had earlier this year before finally breaking to the upside. On Friday/Sunday evening we tested that area. It's the first test of 2100 since thebreakout.

Above us we have the upper summer time range. So for today, I have a few scenarios.

1 - We have tested the old highs and we are now on the way up towards 2200
2 - We are at the start of a new shift down and so the test of the old range will hold and that will bring sellers in

So for today, I'm just considering that scenario. The move down spooked a lot of people who then announced that the sky was falling. Then as we moved up yesterday, they all announced that apparently it was an optical illusion. So I think the key prices are 2100 and the range (2158.75-2184).

There's little point considering the weekly profiles after a drop like that. So I'm not too worried about weekly levels for the next couple of days.

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There's not that much to gain from this other than watching yesterdays high and globex high/low to see if we get a reaction in the day session. We've been pretty close to the range low, so that may be considered tested.

Plan
- Potentially volatile day.
- No bias, looking for a break of yesterdays range/overnight range as points to play off
- Expecting selling if we fail to get hold through 58.75 (rejection of the upper range and potential confirmation of a sell off)
- Otherwise looking to follow the volume

Weekly Numbers
Range - not using weeklies after Fridays move
Value

Daily Numbers
Range 2100.25 / 2110.50 -> 2156
Value 2121 -> 2147.75
Globex 2135.50 -> 2151.51

Upper Range - 2158.75-2184

Settlement – 2152

Key Levels: 2184, 2134.75, 2104, 2089.25, 2084, 2006, 1950.75, 1904, 1817.75, 1788.75

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Posted by Peter Davies on September 13, 2016
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