Wednesday, March 23, 2011

Futures Point to a Flat to Lower Open...

BMO – ES -2.00 and NQ -8.25 futures are mixed about 60 minutes before the open in pre-market trading and point to a flat to slightly lower open SPX upward momentum slowed on Tuesday and formed a bear flag pattern as the markets consolidated gains…so far this morning volume is very light and a similar number of stocks are quoting up and down in pre-market trading

TLT is up 43 cents and the Euro is above 1.4036 resistance down 53 pips in premarket trading

NDX leaders NFLX is higher…AAPL, BIDU, GOOG, and PCLN are slightly lower...AMZN and QCOM are near even in pre-market trading

Dave’s Insight for Wednesday:  Continue to follow your rules.  Be alert for entry signals in either direction as the SPX is right at 1,290 support resistance area and could trade in either direction this morning…The broad indexes are still below their 30 DMA as are many stocks and still have the potential to make lower highs

SPX
Resistance: 1,300, 1,311, 1,321
Support: 1,288, 1,281, 1,271

Quoting Down – VECO, CAM, SNDK, ARUN, TBT, MCP, BAC, URE, AAPL, SNDK, ADBE, GOOG, PCLN, VOD, SHLD

Quoting UpNFLX, MICC, EXPD, INFY, ESRX, TEVA, JOYG,CMG, SOHU, HUM, CF, FCX, WLT, TLT, ATI, NDAQ, ICE, CRM, FAZ

2 comments:

Anonymous said...

Does it matter that this rally of the last 3 days happened with abysmal volume?

James S. said...

Good question! A CNBC guy made an interesting point about volume: With all of the automated/high-volume ("AHV") trading going on, when volatility goes down, so does the AHV, leaving the "regular" volume. So, he was suggesting that volume doesn't indicate the way it used to.