Stock Market Trading Considerations for December 18, 2017
The S&P 500 (INDEXSP:.INX) and Nasdaq (INDEXNASDAQ:.IXIC) are making new highs yet again on Monday morning. The strength and fortitude of buyers is truly amazing. But at these levels we need to follow our price levels and indicators each day or we will be humbled. In the commentary below I break down both futures indices along with crude oil.
S&P 500 Futures
Buyers hold steady in the overnight marking new highs for the e-mini S&P futures. Retracements have been shallow but buying breakouts continue to be suspect under near term divergence. I suspect trapped shorts are pushing us higher as many technical analysts are thinking we are near a reversal space. Big money managers don’t seem to be in this camp =). The bullets below represent the likely shift of trading momentum at the positive or failed retests at the levels noted.
- Buying pressure intraday will likely strengthen with a positive retest of 2692.75
- Selling pressure intraday will likely strengthen with a failed retest of 2687.5 (countertrend)
- Resistance sits near 2691.5 to 2697.75, with 2702.75 and 2706.75 above that.
- Support holds between 2687.5 and 2682.5, with 2675.5 and 2671.25 below that.
NASDAQ Futures
Bullish formations prevailed with new highs showing in the premarket – the chart here is stalling at Fibonacci targets for extensions as is the ES_F. Trapped shorts, new shorts and value buyers will be in a bit of a battle today with signs pointing to value buyers winning this one today. Pullbacks may be shallow and trading shorts are quite countertrend.   The bullets below represent the likely shift of intraday trading momentum at the positive or failed tests at the levels noted.
- Buying pressure intraday will likely strengthen with a positive retest of 6536.5
- Selling pressure intraday will likely strengthen with a failed retest of 6514.5
- Resistance sits near 6545.25 to 6564.5 with 6570.25 and 6588.75 above that.
- Support holds near 6517.5 and 6502.75, with 6497.75 and 6471.75 below that.
WTI Crude Oil
Traders continue to chop this one around for yet another day – testing resistance this morning near 57.8 and rejecting into higher lows above 57.12, near 57.3. Ranges continue to tighten so pay attention to the edges of your formations. The bullets below represent the likely shift of trading momentum at the positive or failed tests at the levels noted.
- Buying pressure intraday will likely strengthen with a positive retest of 57.85
- Selling pressure intraday will strengthen with a failed retest of 57.24
- Resistance sits near 57.85 to 58.1, with 58.57 and 58.85 above that.
- Support holds near 57.4 to 57.24, with 56.97. and 56.7 below that.
Twitter:Â Â @AnneMarieTrades
The author trades stock market futures every day and may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
