Pre-market update:

• Asian markets traded 0.9% higher.
• European markets are trading 0.1% higher. 
• US futures are trading 0.2% higher ahead of the market open. 
  

Economic reports due out (all times are eastern): Jobless Claims (8:30), EIA Petroleum Status Report (11)

Technical Outlook (SPX):

• SPX has quickly become overextended – the need for a temporary pullback or consolidation in the short-term is becoming necessary. 
• With that said you could still see big money chase this market and chase performance for their year-end numbers. 
• I have sought to trim positions/exposure on the move up, by going from 90% long to 60% long. 
• Volume will be light between now and the end of the year with Christmas and New Year vacations. 
• Short-term support in the case of a pullback rests at 1809. Bulls need to hold that level. 
• SPX firmly in overbought territory short-term. 
• VIX continues to drop hard and is down now to 12.48. 
• There is absolutely no reason at all to be short this market. 
• 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 DDD at $86.40 for a 6.1% gain.
• Sold SWK at 80.43 for a 0.5% loss.  
• Did not add any new positions on Christmas Eve. 
• Remain long ICE at $219.62, FLS at 72.25, RCL at 44.46 and KEY at 13.12, TRMB at 33.15, LAMR 51.18. 
• Long 60% / Cash 40% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: