Plan for this morning has been to shop for a low in the S&P 500 and other equity indices this morning and look for a rise. The low was a little messy but could be good enough as they filled the gap to February 24th close this morning at the low and have been working higher. Next step for bulls is to grind over 3997 SPX which should open the way to grinding up to test 4017.
Thas said, there are still obstacles in the way to overcome. Dow futures have been a drag today holding the S&P 500 back. Here is chart of YM with 8-min candles. Pardon the clutter on the chart as it is from my intraday workspace and not something that I have set for sharing that much. You can see that we don’t yet have a clean impulse up out of the low and might have a few bears try their hand at attempting to force a new low down from 32843 as that resistance corresponds to possible intraday cycle high.
If we take a look at a 15min Nasdaq 100 futures chart, we can see that is has been coiled up for pushing two days now. I’d like to see an eventual break up out of the formation but probably need over 12172, the overhead confluence of geometry and a type of pivot, to feel good about it.
Something that I think will help the equity bounce along is a minor retrace in DX or a corresponding bounce in Euro, practically the same thing, and thus a quick peek at the Euro intraday chart today thus far. Euro did bounce as expected but ran into resistance at 1.0647 this morning and has since slipped back. Best it try to hold 1.0585 and make another attempt at pushing over 1.0647 later today or tomorrow.