Pre-market update:

• Asian markets traded 0.4% higher.
• European markets are trading 0.3% higher. 
• US futures are trading 0.1% higher ahead of the market open. 
  

Economic reports due out (all times are eastern): E-Commerce Retail Sales (10), Kansas City Fed Manufacturing Index (11)

Technical Outlook (SPX):

• Yesterday’s bounce went far beyond what the bears could afford. As a result it is necessary to flip switches to the bull side. 
• Key support going forward becomes 1777 at Wednesday’s lows. If that breaks you could have a downside resumption. 
• Once again the 10-day moving average becomes the key support level for price to bounce off of. 
• Volume remained steady with what we’ve been seeing this week. 
• Volume is expected to drop off next week. 
• Historically Thanksgiving trading week trends bullish. 
• VIX dropped back down to 12.66. 
• SPX has traded higher for six weeks straight on the weekly chart. 
• Also problematic for the SPX is the fact that we are trading outside the upper Bollinger Band on the weekly chart. Historically when this happens, particularly after two straight weeks of such, the likelihood for a near-term sell-off increases dramatically. 
• SPX 30-minute chart broke the down trend in price action. 
• The 20-day moving average remains as a solid barometer for gauging the direction and health of the 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:

• Added two new long positions to the portfolio yesterday. 
• Covered FFIV at 82.64 for a 1.7% gain. 
• Covered MGM at 18.92 for a 1.8% gain. 
• Covered PNK at 24.16 for a 1.9% loss. 
• Covered APC at 92.13 for a 1.8% loss. 
• Will look to add between 1-3 new positions today to the long side. 
• Current Longs: CHS at 18.27
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: