Pre-market update:

• Asian markets traded 0.2% higher.
• European markets are 0.2% higher. 
• US futures are trading 0.4% higher ahead of the market open. 
  

Economic reports due out (all times are eastern): Employment Situation (8:30), Personal Income and Outlays (8:30), Consumer Sentiment (9:55), Consumer Credit (3)

Technical Outlook (SPX):

• 5th straight day of selling yesterday, but in all the selling that we’ve seen there has been a major lack of fear. 
• Today’s gap up following the employment number creates an opportunity for the SPX to reclaim 1800 in short-order. 
• The gap on the SPY is likely to push above the last three days of bearish activity with a strong gap up at the open. 
• We could see a bullish kicker candle formation completed today which would be very bullish for the markets. 
• The bulls need to be careful that 1777 doesn’t get broken at any point, which would create a new lower-low for the market. 
• The first time Since September that we have sold off at least five straight days. 
• At this point the SPX is poised to try to reclaim 1800 possibly at the market open. 
• Just a reminder from what I said in yesterday’s trading plan “The notion of being short at this juncture seems to be of much higher risk and the potential to be squeezed out of those positions.“
• Volume was average on the SPX yesterday. 
• VIX should see a hard drop off of its 15.08 level today. 
• Above 1806 and the SPX will finish higher for a 9th straight week. 
• 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:

• Added one new position yesterday. 
• Did not close out any positions. 
• May add 1-2 new positions today. 
• Current Longs: JAH at 56.50, ADSK at 45.75, LVS at 71.92, MPEL at 35.68, CBG at 24.64, CX at 10.95. 
• Long 70% / Cash 30% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: