S&P 500 Futures Trading Outlook For January 13

Stock market futures considerations for Jan 12, 2017

Yesterday, the S&P 500 (INDEXSP:.INX) tested the edges of deep support. However, we still held the current pattern of buying weakness. Our candlestick bodies on 4hour time frames remain landlocked.

See today’s economic calendar with a rundown of releases.

TODAY’S RANGE OF MOTION – Stock Market Futures January 12

E-MINI S&P 500 FUTURES

Buying pressure will likely strengthen above a positive retest of 2271.50.  Selling pressure will strengthen with a failed retest of 2259.50.

Price resistance sits near 2274.75 to 2277.25, with 2280.75 and 2282.5 above that.

Price support holds between 2255- 2251, with 2246.50 and 2241.50 below that.

Upside trades – Two options for entry 

• Positive retest of continuation level – 2267.75 (watch for 2270-2271.5 for possible resistance)
• Positive retest of support level – 2261.5
• Opening targets ranges – 2264.75, 2268, 2270.25, 2273.75, 2275.75, 2277, 2280.25, 2282.50, and 2285.25

Downside trades – Two options for entry

• Failed retest of resistance level – 2267
• Failed retest of support level – 2260.50
• Opening target ranges – 2263.75, 2262.25, 2260.50, 2258.75, 2255.75, 2252.75, 2249.75, 2246.50, 2242.75, and 2239.

NASDAQ FUTURES

Nasdaq futures dipped deeply as well, but also showed buyers coming in to rescue the day.  We are quite close to breaching the highs, but we’ll still need retests to execute trades well.

Buying pressure will likely strengthen with a positive retest of 5045.5 -chart remains very extended. Selling pressure will strengthen with a failed retest of 5031.50, though short trades are still countertrend today.

Price resistance sits near 5045 to 5048.50, with 5050.75 and 5054.75 above that. Price support holds between 5031.25 and 5025.25, with 5017.75 and 5007.5 below that.

Upside trades – Two options 

• Positive retest of continuation level – 5045.25 (needs confirmation on tight time frame and momentum)
• Positive retest of support level – 5025.25
• Opening target ranges – 5031.5, 5035.75, 5038.25, 5044.25, 5048, 5050.75, and 5054

Downside trades – Two options 

• Failed retest of resistance level – 5035.5
• Failed retest of support level – 5031.50
• Opening target ranges – 5031.75, 5025.50, 5021.50, 5017.25, 5013.75, 5010.25, 5007.50, 5004.75, 4997.75, 4994.75, 4991.50, 4985.50, and 4978.75

CRUDE OIL – WTI

Oil held 53.46 as primary resistance yesterday and faded back to support, but it seems that the traders may be looking at higher lows to hold as we come into Friday

Buying pressure will likely strengthen with a positive retest of 53.09.  Selling pressure will strengthen with a failed retest of 52.03-watch for a group of buyers near 51.76

Price resistance sits near 52.86 to 53.46, with 53.78 and 54.28 above that. Price support holds between 51.74 and 52.09, with 51.4 and 51.04 below that.

Upside trades – Two options 

• Positive retest of continuation level – 53.09(needs confirmation with positive retest)
• Positive retest of support level – 52.06 (watch 52.56 for trouble)
• Opening target ranges – 52.39, 52.6, 52.78, 53.03, 53.23, 53.46, 53.82, 54.12, 54.28, 54.51, 54.76, 55.06, and 55.24

Downside trades – Two options 

• Failed retest of resistance level – 52.52
• Failed retest of support level – 52.04 (watch support near 51.76, if a breach up intends to break the cycle)
• Opening target ranges – 52.37, 52.09, 51.78, 51.52, 51.24, 51.04, 50.82, 50.47, 50.3, and 50.16

If you’re interested in watching these trades go live, join us in the live trading room from 9am to 11:30am each trading day.

Visit TheTradingBook for more information.

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:  @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.