Stock Market Futures Outlook for December 8, 2016 –
Thoughts about range bound activity quickly dissipated yesterday as all the major indices surged over resistance and held through the day. The gains for the S&P 500 (INDEXSP:.INX) look to hold into early morning trading today. Ahead of the FOMC, it seems that traders are all but absolutely sure that a rate hike of 25 basis points has been baked in. We begin the morning holding support but failing to breach higher than yesterday’s high. The line in the sand for buyers today will be near 2231 on S&P 500 futures. Support levels to watch below that level are 2224.75-2222. We essentially had a parabolic move up, so we ‘should’ retrace. The question will remain about the location of strong buying support. Resistance is well above us and in uncharted territory. Fibonacci extensions show 2246.5 to 2270.50. Momentum remains bullish, so buyers will continue to get involved at support zones.
See today’s economic calendar with a rundown of releases.
TODAY’S RANGE OF MOTION
S&P 500 Futures Trading Chart – December 8
***Upside trades – Two options for entry–
Positive retest of continuation level -2234.50 (sellers are currently sitting near 2241.50) – be careful with the breakout long trade
Positive retest of support level– 2217.75
Opening targets ranges for non-members -2222.50, 2227.25, 2231.50, 2234.50, 2237.75, 2241.25, and 2246.50
***Downside trades – Two options for entry–
Failed retest of resistance level -2241
Failed retest of support level– 2231.50
Opening target ranges for non-members – 2237.75, 2234.75, 2231.50, 2227.75, 2224.25, 2221.25, 2217.75, 2214.50, 2210.50, and 2206.50
Â
***Nasdaq Futures***
The NQ_F completely rebounded from the fade several days ago and now is in a battleground region between 4747 and 4754. Support looks like a wide range between 4841 and 4834, but buying support is strong so deep dips are likely to find buyers (as well as shallow dips to be sure in this environment).  Momentum is positive. Resistance now holds near 4854.50 to 4868.
***Upside trades – Two options
Positive retest of continuation level -4854.50
Positive retest of support level– 4814.50
Opening target ranges for non-members –4818.75, 4823.75, 4830.50, 4834.75, 4839.50, 4848.50, 4854, 4859.50, 4863.50, 4868.50, 4870.75, and 4876.75
***Downside trades- Two options
Failed retest of resistance level -4850.50
Failed retest of support level– 4835.50
Opening target ranges for non-members –4844.50, 4840.25, 4836.50, 4827.75, 4822.75, 4818, 4812.25, and 4801.50
***Oil –WTI Crude***
The WTI contract is retracing OPEC news in a slow and controlled fashion. Higher lows are still present on larger time frames, but resistance sits near 50.65 in the current formation. Support levels intraday sit near 49.6 and can stretch into 49.08
***Upside trades – Two options
Positive retest of continuation level -50.70
Positive retest of support level– 49.87
Opening target ranges for non-members –50.22, 50.65, 50.91, 51.08, 51.35, 51.74, 51.97, 52.02, 52.24, 52.47, 53.03, and 53.54
***Downside trades- Two options
Failed retest of resistance level -50.65
Failed retest of support level– 49.8
Opening target ranges for non-members –50.27, 50.09, 49.87, 49.6, 49.36, 49.07, 48.85 and 48.66
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.
