Pre-market update:

• Asian markets traded -1.1% lower.
• European markets are -0.2% lower. 
• US futures are trading -0.6% lower ahead of the market open. 
  

Economic reports due out (all times are eastern): Jobless Claims (8:30), PMI Manufacturing Index Flash (8:58), Existing Home Sales (10), FHFA House Price Index (10), Leading Indicators (10), EIA Natural Gas Report (10:3), EIA Petroleum Status Report (11)

Technical Outlook (SPX):

• After Jobless Claims, heavy sell-off in the pre-market on SPX. 
• Heavy gap downs are often times difficult for the bears to hold down. More times than not there is an attempt, to push the markets substantially off t heir lows. 
• Despite closing near the market highs, SPX poised to test short-term support levels underneath, most notably 1832.
• The biggest key support level to watch is the rising trend-line off of the October lows which sitts at 1828 today. 
• If that breaks, you the very real possibility for this market to get notably more bearish in the days ahead. 
• Nonetheless, the SPX has now been in consolidation for a full month now. 
• Markets back off of overbought conditions. 
• January, which is often used as a barometer for the rest of the year, in terms of sentiment, remains in the red for the month. 
• We are at a month of price action where we have been stuck in a 27 point price range. 
• 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:

• Did not sell any positions yesterday. 
• Added one new long position. 
• Remain long IPG at 17.71, MEOH at 60.16, BRO at 32.06, KKr at 25.94 and SFUN at 89.00.
• Based on market action, I will look to add 1-2 new positions today. 
• Long 60% / Cash 40% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: