Pre-market update:

• Asian markets traded 0.8% lower.
• European markets traded 0.4% lower. 
• US futures are trading 0.5% lower. 

Economic reports due out (all times are eastern): Consumer Sentiment (9:55)

Technical Outlook (SPX):

• Early morning action suggests a sell-off to begin the day. However, large gap downs are often times unsustainable for the market, and simply leads to a buy-the-dip opportunity for the bulls. 
• The trend-line off of the 6/24 lows has lost some of its steepness, but overall, it will still be difficult the rate of price increase on the SPX that we have seen since. 
• 10-day moving average continues to maintain support for the market, though today will be a strong challenge for it. 
• Watch the action in the SPX in the first hour. Often times the "V" shaped bounce in the first hour, if it occurs, represents the day's lows. 
• 1700 continues to be a thorn in the side of the bulls. 
• 30-minute chart on the SPX is forming an inverse head and shoulders pattern quite nicely. 
• If we see any significant amount of selling today, you will want to watch the 1671-2 level as a significant short-term support level. Break below it, and you likely have a much heavier sell-off at hand. 
• Pay no attention right now that the market is over-extended. Such conditions rarely matters with the Fed's involvement in the markets. 
• VIX dropped with the market's rise and is at 12.97.
• This uptrend looks nearly the same as the one we saw on 4/19 and lasted until 5/19. I'm curious if it will lead to a similar extended pullback as a result. 
• Markets don't care about the economy. 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 ASML at 89.63
• Current Longs: RCI at 40.65, SOHU at 67.91, WU at 17.45, MENT at 20.55, HRB at 30.19, SJM at 104.63, BDX at 99.98, GOOG at 887.47
• May look to take gains in stocks that are stagnant and replace them with better setups today. 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: