Broad Stock Market Futures Outlook for July 24, 2018
The S&P 500 (NYSEARCA: SPY) is in breakout mode with buyers pushing the index higher this morning. Momentum indicators point to a coming retrace following this move into higher price resistance (see levels below).
Pullbacks to known areas of support have rewarded patient traders with solid gains. We will be watching the next retrace to support to see if something similar develops. Higher lows are an important sign of a trading uptrend.
S&P 500 Futures
Tests of resistance and higher lows still hold across the board on larger time frames as we now test a breakout level near 2820.
Divergence also still shows but the formations currently favor buyers so value buyers will win the day on dips to support. We could see a short squeeze if there are lots of sellers with stops just above us, so it could be a day filled with fireworks. The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.
- Buying pressure intraday will likely strengthen with a bullish retest of 2820.5
- Selling pressure intraday will likely strengthen with a bearish retest of 2813.75
- Resistance sits near 2824.75 to 2828.25, with 2831.75 and 2834.75 above that.
- Support sits between 2809.25 and 2806.75, with 2800.75 and 2796.75
NASDAQ Futures
Breakouts are in high gear- likely fueled by a combination of stop running and new participants. Pullbacks remain value events but they could be shallow until the expansion upward is complete today. Fade to higher lows is very likely but that might not be for a while so top picking here today could be quite dangerous. The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.
- Buying pressure intraday will likely strengthen with a bullish retest of 7448.75
- Selling pressure intraday will likely strengthen with a bearish retest of 7431.5
- Resistance sits near 7456.5 to 7471.5 with 7484.5 and 7496.25 above that.
- Support sits between 7441.5 and 7427.75, with 7416.5 and 7381.75 below that.
WTI Crude Oil
Buyers hold the bounce near 67.5- key higher support for now. Momentum is neutral to bearish as traders attempt a recovery with congestion and resistance near 68.57. API and EIA reports are on the docket and are sure to shift volume profiles around for the week. The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.
- Buying pressure intraday will likely strengthen with a bullish retest of 68.57
- Selling pressure intraday will strengthen with a bearish retest of 67.97
- Resistance sits near 68.46 to 68.78, with 69.03 and 69.48 above that.
- Support holds near 68.03 to 67.81, with 67.56 and 67.26 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.
