Futures Point to a Higher Open...

BMO – ES +6.00 and NQ +9.50 futures are higher in pre-market trading pointing to a higher open. In pre-market trading AAPL is +1.48, AMZN +0.60, GOOG +2.46, BIDU +2.32, INTC is up 19 cents, BAC is up 15 cents and GS +1.63.


XLF Financials, XLI Industrials and XLY are also leading higher this morning.

Volatility remained above 25 on Tuesday, as we guided you on Monday morning, last week's pull back is not necessarily over. Higher volatility means you should continue to expect bigger and quicker moves both up and down. We continue to watch whether volatility moves below 25 or not.

Watch both the 50% Fibonacci from Friday's close to Tuesday's high and the mid section of Monday's large white candle to give you a sense the magnitude of any correction on Wednesday. If the correction is less than 50% use the pull back to identify support bounce entry signals.

The best guidance today is to continue to Follow Your Rules.

Look at these Charts

(click image to enlarge)

Bonds are lower and TLT is 33 cents lower in pre-market.

Trading Down: SPG
Trading Up: PCLN, POT, DHR, GS, FCX, CREE, V, UYG, BUCY, CLF, SNDK CAT, X, LVS, TSL, FAS, WFC, MCD

The short term and intermediate term trend are neutral and the long term trend is up.

Trade those charts that meet your rules in the direction of the trend.

The Euro is up 47 pips in overnight trading.  Oil is up 7 cents in electronic trading. 

SPY is up 40 cents and XLF is up 5 cents in pre-market trading. Watch XLF as a key to any sustained move in the SPX.

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

SPX
Support = 1,145, 1,125, 1,119, 1,105
Resistance = 1,155, 1,178, 1,200

At the Open on Wednesday
SPY –
QQQQ –
FAS –
TLT -
FLS –
NTRI -
OSTK -
EXBD -
MA -
ILMN –
AKAM –
SNDK –
NFLX –
AAPL –
SHLD –
WHR –
ZION –
DHR –
DECK –
X –
CLF –
BA –
BBY –
MA -
V –
PCLN –
CAT –
PCP –
CREE –
AMD –
UAUA – merger announced
UNP –
DE –
FCX –
GMCR –