Pre-market update:

• Asian markets traded 1.5% higher.
• European markets are trading 0.3% higher. 
• US futures are trading mixed ahead of the market open. 
  

Economic reports due out (all times are eastern): Empire State Manufacturing Survey (8:30), Import and Export Prices (8:30), Industrial  Production (9:15), Wholesale Trade (10)

Technical Outlook (SPX):

• Today could mark a huge milestone for the SPX if it can attain and close above 1800 for the first time. 
• Yesterday was important as the SPX managed to see follow-through on Wednesday’s impressive gains. 
• Use the 20-day moving average as a barometer on the health of the market. As long as we remain above it, there is little reason to consider shorting this market. 
• Dip-Buyers have consistently used the 20-day MA to bounce the market back higher. 
• Volume continues to trade below average this entire week. 
• Be aware that this breakout could play out to what we saw on 8/1 & 8/2 when we broke out of consolidation, only to begin a significant pullback over the course of the next month. 
• SPX back into overbought territory. 
• VIX dropped to 12.37 yesterday. 
• Extreme rally on the SPX 30-minute chart. 
• Markets don’t care about the economy nor earnings. That is not what is driving them. The markets only care about what the Fed is doing to keep equities propped up. 

My Opinions & Trades:

• Sold ALKS at 37.40 for a 5.4% gain yesterday. 
• Sold LVS at 71.50 for a 0.5% gain yesterday. 
• Sold ARUN yesterday at 18.36 for a 2% loss. 
• Added three new long positions yesterday to the portfolio. 
• May add as many as two new positions today. 
• Wait at least an hour after the market opens before considering a new position today. 
• Currently 80% long / 20% cash.  
• Current Longs: CHS at 17.30, MOS at 47.77, PAY at 24.97, GPC at 81.40, CE at 57.60.
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: