Your MUST-READ Morning Stock Futures Cheat Sheet: Technical reversal

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The Precise Take – Technical reversal

Big Picture Analysis:   Yesterday’s furious rally into the close, after undercutting the August 9th low, is a classic reversal signal, and we might expect a few days’ follow through.  At the lows of the day, it was the defensive sectors that were hardest hit, and the small caps led the rally.  It will be important to monitor market reaction to fresh news out of Europe, be it good or bad.  In that regard, we have two central bank announcements tomorrow, with expectations of interest rate cuts partially priced in.  We remain skeptical of the potential follow through for any rally attempt for recently stated reasons.  Friday, focus will turn to the US labor market with the monthly Employment Situation report.

Trading Today:   See below for support and resistance areas.

Today’s  Scheduled News (all times EDT)

Major Market Movers
ISM Non-Mfg at 10:00 am

Minor Market Movers
EIA Petroleum Stats at 10:30 am

Tomorrow’s Scheduled News

Major Market Movers
BOE Announcement at 7:00 am
ECB Announcement at 7:45 am
Jobless Claims at 8:30 am

Minor Market Movers

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