Pre-market update:

• Asian markets traded 0.9% higher.  
• European markets are trading 0.1% higher.
• US futures are trading 0.3% higher ahead of the market open. 
  

Economic reports due out (all times are eastern): Existing Home Sales (10)

Technical Outlook (SPX):

• SPX positioning itself today to possibly challenge the all-time highs with the help of the morning gap up we will receive. 
• Last four days has represented some nice consolidation for the market which is extremely healthy for the bulls. 
• If the bears could hold their ground here and push this market below the week’s lows today, you could see fears of a possible double top on the SPX daily chart emerge. 
• Two support levels to watch to day are 1825, 1809. The latter of which should result in more bears coming to the table to short this market. 
• When testing significant resistance like we have at the all-time highs, I always consider it to be a bad sign if, when unable to break through, we sell-off instead of consolidate. It often indicates there is a lack of fire power to push price through. 
• VIX dropped back down to 14.79.
• Volume has been average. 
• Some distribution seems to be taking place on the 30-minute SPX chart. 
• The biggest technical support level is the strength SPX found from the trend line that started off of the August ’13 lows. 
• 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:

• Closed/covered C yesterday for a 0.6% gain. 
• Added two new long positions yesterday. 
• Remain long SLB at 90.48.
• Will consider 1-2 new positions based on market conditions.  
• Long 30% / Cash 70% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: