Futures Point to a Slightly Higher Open...

BMO – ES +1.50 and NQ +2.00 futures are slightly higher in pre-market trading pointing to a slightly higher open. AAPL +0.30, AMZN +0.90, GOOG +1.25 and BIDU +1.84 are up in pre-market trading.

If Tuesday’s breakout holds, the new Chart Signals price target on the SPX is 1,255 over about a nine week period.

Old resistance becomes new support is the operative for Wednesday. Prices broke through resistance on Tuesday proving that sellers were not yet willing to fully commit at January’s resistance level. Tuesday is now the high day. Watch to see if Wednesday’s trading is able to stay above Friday’s high of 1,153.41.

The Euro is up 5 pips in overnight trading. Oil is quoting up 67 cents in electronic trading. XLE is up 20 cents in pre-market trading.

SPY is up 26 cents in pre-market trading. XLF is up 5 cents in pre-market trading. Watch XLF as a key to any sustained move in the SPX. Remember XLF closed above horizontal resistance on Tuesday after trading in a sideways range since October…its breakout coinciding with the breakout of SPX as we have been saying in Chart Signals.

Follow your rules in any trading actions today. Be logical.

Look at these Charts

WLT, SPG, SBUX, ZION

SPX
Support = 1,150, 1,139
Resistance = 1,178

Trading Down: FUQI, DECK, SPG, FAZ
Trading Up: POT, MON, FAS, FCX, GS, BUCY, IPI, MOS, X, WLT, V, GMCR, USO, CAT, WFC, MCD, TSL, ALGT

At the Open on Wednesday
SPY –
QQQQ –
FAS –
X –
POT –
CREE –
UAUA –
SNDK –
AAPL –
ALGT –
ALTR –
NFLX –
RIMM –
STX –
SHLD –
BUCY –
BA –
DOW –
DE –
FCX –
WHR –
ZION –
STT –
GMCR –
AGU –
IPI –
DHR –
V –
NVDA –
AMD –
PCLN –
DECK –
CAT –
PCP –
UNP –
CF –
ACN –