S&P 500 overpowered the tech weakness for most of the session, and the worries over 30y Treasury auction were overcome as is often the case, dividing the session into two distinct parts. The drop towards the power hour was purely technical, and the current difficult environment though still provided a positive close to the move this morning in our intraday terms while conditions are shaping up for a corrective move to the 2024 advance to start (rising intraday volatility and USD attempting to put in bottom, are but two clues if I don‘t highlight too much the crypto developments).PPI today is to come on the hotter side, and retail sales aren‘t to be soft landing supportive either, which means a repeat of CPI trading is at hand – maybe this time with fewer false breakdowns.
S&P 500 and Nasdaq Outlook
5,207 Jun contract support is the „point of control“ for today, and I‘m not looking for stark return of tech names outperformance, which would be leaning bearish as there is only so much cyclicals and real asset plays can accomplish in keeping S&P 500 as up as they did yesterday (chart courtesy of www.stockcharts.com). Such 5,255 values are a virtual certainty – one heck of a resistance.More By This Author:Beware Of Rising Swings SPY Getting RollingFear Vs. Everything Bubble
