Pre-market update:

• Asian markets traded 0.9% higher.
• European markets are trading 1.2% higher. 
• US futures are trading flat ahead of the market open. 
  

Economic reports due out (all times are eastern): Jobless Claims (8:30), Philadelphia Fed Survey (10), Existing Home Sales (10), Leading Indicators (10), EIA Natural Gas  Report (10:30)

Technical Outlook (SPX):

• Huge and I do mean “huge” rally yesterday of almost 30 points on the SPX. The biggest since the 30+ point rally on 10/10. 
• Most amazingly we went from testing and almost breaking the 50-day moving average to new all-time closing highs. 
• Fed tapering will occur but to an extent that Wall Street can stay bullish with. 
• There was plenty of negativity heading into the FOMC Statement, and it just goes to show you how reality is usually the opposite of what the traders fear will happen. 
• The double top short-term on the SPX has been nullified and the slight downtrend we were in since 11/29 is now over with. 
• There is absolutely no reason at all to be short this market. 
• VIX took a pounding – dropped 15% down to 13.80. 
• Price broke through the resistance range  between 1800 and 1808. 
• 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 positions yesterday, including KEY at $13.12.
• Closed out GT at $22.40 for a 1.6% loss. 
• Remain long ICE at $219.62, FLS at 72.25, LVS at 76.59, UA at $84.76, FCS at $12.89, DDD at $81.40. 
• Profitable in all positions in the portfolio. 
• May add one additional position to the portfolio today, assuming we can get some follow through today. 
• Long 80% / Cash 20% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: