Trading Plan for February 17, 2012
Economic Reports Due out (Times are EST): Consumer Price Index (8:30am), Leading Indicators (10am)
Premarket Update (Updated 6:30am eastern):
US Futures are slightly green heading into the open.
Asian markets closed 1.3% higher.
European markets are trading 0.5% up to 1.4% higher.
Technical Outlook (S&P):
The bears had every opportunity to drive the market lower, but additional Greek news and economics reports sent the S&P skyrocketing 20 points off of its lows non-stop (only 1 legitimate red candle yesterday! on the 30 min chart!)
We now have a bullish engulfing candle pattern on the S&P from the past two days.
The S&P broke out to new recent highs and the next level of meaningful resistance would be at 1370.
S&P managed to regain the 10-day moving average as has been the case the entire year when the index fell below the MA.
Volume was on part with recent readings.
30-min chart shows the beginning of a breakout on the index. But the key for the breakout will be for there to be continuation today.
Price level support lies at 1326 and then again at 1300. A break of the latter in coming days would drastically change market behavior/outlook.
The SharePlanner Reversal Indicator finally gave us a reversal signal both on the daily and weekly indicators.
Here Are My Market Opinions: