Pre-market update:

• Asian markets traded 0.4% lower.
• European markets are trading 0.1% lower.
  
• US futures are trading 0.1% lower ahead of the market open. 
  

Economic reports due out (all times are eastern): MBA Purchases (7), Wholesale Trade (10), EIA Petroleum Status Report (10:30)

Technical Outlook (SPX):

• SPX broke support at 1990 which represented the lows of the recent trading range that it had been trading in. 
• However, support was found and held just beneath it at 1987 which was the top of July’s trading range. 
• Mild bounce off of the 20-day moving average yesterday. In strong up-trending markets of late, many times this moving average provided the lows on the pullback. 
• Volume on the SPY increased and was above average. 
• VIX rose 6.6% to 13.5.
• SPX 30 minute chart shows a market confirming distribution and moving lower as a result. 
• Six out of the last eight trading days has resulted in the SPX trading lower.
• At the moment there is little to no fear in this market. That can always change, but no major themes in the market that can cause problems for it right now. 
• The market doesn’t care about the economy nor earnings. That is not what is driving it. The market only cares about what the Fed is doing to keep equities propped up. 

My Trades:

• Closed out AKAM at 61.18 for a 0.6% loss. 
• Remain long CTXS at 69.96, FB at 75.65, MAS at 23.72, MSFT at 45.49..
• Will look to add 1-2 new long position today if the market bounces here – also willing to being opening 1-2 new short positions should the market continue to decline.. 
• 40% Long / 60% Cash
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: