Stock Market Futures Outlook for December 14, 2016 –
True to form and historical data, the markets rose into the FOMC release. Traders will be listening for Janet Yellen’s comments on future moves for the Fed’s plan for a continual rise on interest rates. Corporate debt is higher than it has been in several years – likely due to all the cheap money made available in the last half a dozen years. The line in the sand for S&P 500 futures buyers to hold today will be 2246, and below that, 2240. Option traders are pricing in a 14 point move in the S&P 500 (INDEXSP:.INX) today, which could be in either direction. Price resistance on S&P 500 futures has risen to 2279.75 at this writing, but could rise to 2287.50, if the charts keep testing higher lows.
See today’s economic calendar with a rundown of releases.
TODAY’S RANGE OF MOTION
S&P 500 Futures Trading Outlook – December 13
Upside trades – Two options for entry
Positive retest of continuation level – 2267.75
Positive retest of support level – 2256.5
Opening targets ranges – 2260.50, 2263.75, 2267.75, 2270.25, 2273, 2275.50, 2278.25 and 2282.50
Downside trades – Two options for entry
Failed retest of resistance level – 2264.75
Failed retest of support level – 2250.50
Opening target ranges – 2259.50, 2256.25, 2251.5, 2249.50, 2247.50, 2241.25, 2237.75, 2234.75, 2231.50, 2227.75, 2224.25, and 2224.25
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Nasdaq Futures
The NQ_F moved well above targets set for the day….it seemed to be setting up for a topping formation, just as it did on Sunday evening. We have since faded to a region well support by trading willing to buy – at 4938 to 4940. These levels will be the ones buyers will need to hold, or risk a drift down to 4915.75 to 4898. Momentum is positive, but drifting. Resistance now holds near 4961 to 4988.
Upside trades – Two options
Positive retest of continuation level -4948.50
Positive retest of support level– 4915.50
Opening target ranges for non-members –4919.75, 4929.25, 4934.5-0, 4939.75, 4942.25, 4947, 4959.75, 4965.50, and 4988.75
Downside trades – Two options
Failed retest of resistance level – 4968.75 (careful here – negative divergence needs to be present)
Failed retest of support level – 4937.75
Opening target ranges – 4962, 4954.50, 4941.25, 4938.25, 4932.25, 4919.75, 4906.50, 4900.75, 4886.75, 4876.25, 4870.25, 4863.75, 4859.75, 4854.75, and 4847.50
Crude Oil – WTI
As shale drillers increase output, and OPEC promises to cut production, WTI crude has drifted to fill the gap I mentioned over the last few days. This is a common occurrence. The big picture still presents higher lows on larger time frames, and resistance sits at 54.04 to 53.48 today. As the gap fills, we should find buyers near 51.53. The EIA report is due to be released at 10:30am
Upside trades – Two options
Positive retest of continuation level – 53.48
Positive retest of support level – 51.53
Opening target ranges for non-members – 52.04, 52.44, 52.96, 53.23, 53.41, 53.8, 54.04, 54.21, 54.5, 54.97, and 55.4
Downside trades- Two options
Failed retest of resistance level – 53.24
Failed retest of support level – 51.4
Opening target ranges – 53.02, 52.86, 52.5, 52.34, 52.16, 52.02, 51.89, 51.64, 51.47, 50.27, 50.13, 49.87, and 49.6
If you’re interested in the live trading room, it is now primarily stock market futures content, though we do track heavily traded stocks and their likely daily trajectories as well – we begin at 9am with a morning report and likely chart movements along with trade setups for the day.
As long as the trader keeps himself aware of support and resistance levels, risk can be very adequately managed to play in either direction as bottom picking remains a behavior pattern that is developing with value buyers and speculative traders.
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.
