Futures Point to a Higher Open as SPY, Many Stocks Form Bull Flag...

BMO – ES +15.00 and NQ +28.75 futures are higher about 15 minutes before the open in pre-market trading and point to a higher open…positive expectations for a EU bailout are cited…volume is moderate for pre-market with more stocks quoting up than down…Financial stocks, XLF is up 24 cents on 139,100 hares in pre-market at this time…

TLT is down 1.30 and the Euro is up 49 pips in premarket trading…

NDX leaders AAPL, AMZN, BIDU, GOOG, NFLX, PCLN and QCOM are quoting higher in pre-market trading…

Dave’s Insight for Wednesday:  A key reversal day occurred in several NDX stocks including AAPL, AMZN, PCLN, BIDU, GMCR (see last night’s post)… The S&P appears to have made a bull flag off of a higher low in its 1,100 to 1,200 price channel…Take the trade according to your rules…US traders did not follow the global selloff Tuesday morning instead if they will looked at the lower prices as an entry opportunity…Trade with the short term trend…Watch XLF as a key factor in any SPX move up or down…

SPX

Resistance: 1,177, 1,200, 1,225

Support: 1,160, 1,146, 1,134

Quoting Down – FAZ, SLW, TLT, ESI, CDE, SWK, DHR, ATI, NTES, URBN, VRSN

Quoting Up – WLT, GOOG, PCLN, AAPL, WYNN, CMG, CRM, CLF, VMW, CF, LNKD, SINA, FFIV, TIF, CAT, IBM, HUM, ANR, GMCR, DE, SOHU, GS, SLB, COH, MOS, LVS, HAL, V, MCP, SNDK, URE, UCO, FCX, NVDA, POT, FAS, X, RCL, PCX, DOW, CROX, NKE, C, CSTR, SWKS, HLF, JNPR, TBT, CREE, TSL, CIEN, KKD, JDSU, NFLX, FSLR, AMZN, FFIV, BIDU, JOYG, AKAM