Futures Point to a Slightly Higher Open...

BMO – ES +2.25and NQ +3.25 futures are flat in pre-market trading pointing to a flat to open. In pre-market trading AAPL is +0.89, GOOG +1.80, BIDU -0.20, NFLX -0.10.  Futures have just turned positive in the last 5 minutes about an hour before open.


Most stocks are near unchanged on very light volume in pre-market trading this morning.

Earnings season starts next Monday. Wednesday's trading confirmed last Thursday's hammer and closed above the R1 level of the Tuesday, June 29 large black candle. Next resistance is the R2 of the June 29 candle at 1,071. A large number of stocks broke through their 30 DMA on Wednesday and many more closed just below their 30 DMA and could break through the 30 DMA on Thursday if prices rise again.

Short term support is at 1,056 and 1,044, the S1 of Wednesday's large white candle. Short term resistance is at 1,071.

After the strong move up on Wednesday, the market could pause and rest. If it does watch the 1,044 S1 level. If trading stays above this level look for the support bounce to continue going into Earnings season next week.

In my Wednesday morning AT webcast I entered five real time virtual trades. Their were August options at we entered them around 9 am MT. They all rose by the close. Those of you who watched I hope you also did a virtual trade to improve your trading skill.

CREE +30.36%
CRUS +34.09%
DECK +30.26%
NTAP +34.43%
VECO +23.81%

Bonds are flat and TLT is up 34 cents in pre-market trading.

The Euro is up 29 pips in overnight trading and above its 10 and 30 DMA. The Euro appears to have started a new up trend with a breakout of an inverse head and shoulders.

SPY is up 33 cents and XLF is up 3 cents in pre-market trading . Watch XLF as a key to any sustained move in the SPX.

Wednesday's support bounce and hammer confirmation provided a large number of entry signals...if the bounce continues without a pause today...look for more potential entry signals to occur.

Almost all of our flag stocks rose on Wednesday breaking above the high of the low day and giving entry signals: NFLX, AKAM, SNDK, SBUX, VMW, UAUA, FFIV, ILMN, CRUS, LVS, BA, CAL, CAT, CRM, HAS, HSY, NYX, SWN, TIE, UNG, UCO, BIDU, NTAP, VECO, SKX, DECK, CMG, ICE, NETL, AAP, ALK, AZO, ABC and DLR.

FFIV and HSY had support bounces on Tuesday.

Watch the VIX level on Thursday to see if it pulls back and move closer to the 25 level. The VIX has been suggesting support bounce in its lower close on both Thursday and Friday and that bounce happened on Wednesday in a very big way.

Stocks are mixed on light volume in pre-market trading.

Trading Down: BUCY, MOS, WLT, FAZ

Trading Up: CLF, AGU, CREE, VMW, VECO, X, HV, GS, LVS, SNDK, USO, FAS

The short term 3 day trend is up. The intermediate term 8 month trend is neutral and long term trend is up.

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

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

SPX
Support = 1,056, 1,044
Resistance = 1,071 1,086

At the Open on Thursday
SPY –
QQQQ -
FAS -
TLT –

AAPL – sideways at support
CRUS – flag entry
BRCM - flag
BIDU – sideways at support
AKAM – flag
SNDK –
NTAP - flag
ILMN – flag
NFLX – flag
FFIV – flag entry
DECK – stock split
CMG – flag
VMW – bounce entry
SKX –
AZO – flag
LVS –flag
HSY – flag entry
DLR - flag
CRM – flag
TIE – flag
UNG – flag
UCO -
AAP – flag
SWN – flag
ICE –
BA – flag
CAT – flag

ALK –
UAUA -
CAL –
ORLY –
CSTR -
NETL –
NYX –
GMCR –
VECO –
CREE -

AKS
X –
PCLN –
CLF –
DOW –
BBY –
GOOG
MA -
V –
PCP –
UNP –
FCX –