Trading Plan for March 16, 2012
Economic Reports Due out (Times are EST): Consumer Price Index (8:30am), Industrial Production (9:15am), Consumer Sentiment (9:55am)
Premarket Update (Updated 8:30am eastern):
US Futures are looking at a slightly higher open.
Asian markets had a mixed/flat day.
European markets are trading slightly positive
Technical Outlook (S&P):
The S&P managed to extend its gains to new recovery highs and above the psychological 1400 price barrier.
Volume has actually picked up quite nicely over the last three days.
The Dow Jones is actually attempting to go up for the 8th straight day - a rare accomplishment.
The market is getting oversold in the very short-term.
Price action of late looks parabolic and wouldn't be surprised to see a sell-off at this juncture.
Ideally the bulls would do itself some good if they could get the markets to consolidate for a week or two at or near its highs.
Price-level resistance can be found at 1428, and of course psychologically 1400 will be a test for the bulls as most milestone figures are.
Nearest support level for the S&P lies around 1378 -