Pre-market update:

• Asian markets traded 1.5% higher.
• European markets are trading 0.3% lower.
• US futures are trading 0.3% lower ahead of the market open. 
  

Economic reports due out (all times are eastern): Chicago Fed National Activity Index (8:30), PMI Manufacturing Index Flash (9:45)

Technical Outlook (SPX):

• After a solid break through on Friday to start the day off, we experienced a huge head fake in the afternoon and sold off nearly 19 points on SPX from its intraday highs. 
• Essentially, it was a huge Green-to-Red move in the markets. 
• While the 10-day moving average might have held, the big problem was the fact that four the fourth straight day, SPX could not break through and hold the 1873 level. 
• Moves like what we saw on Friday are extremely bearish and makes the ideal holding large sums of long positions undesirable. 
• Volume was through the roof on Friday. It was also options expiration but still heavy nonetheless. 
• Potential for a double top forming in the 30-minute chart of SPX. 
• Bears need to set their aim towards pushing price below 1839. That would drastically alter SPX landscape. 
• March has been stuck in a relatively tight trading range of about 49 points. At this juncture, with all the back and forth that I’ve seen, it needs to do what it can to separate from the pack. 
• Consolidation of the market of late is best seen through the weekly chart of SPX
• The biggest technical support level is the strength SPX found from the trend line that started off of the August ’13 lows. 
• The Market doesn’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:

• Did not add any new positions Friday.
• Sold BBY at $26.85 for a 3.6% gain. 
• Sold BWLD at $156.71 for a 3.1% gain. 
• Sold CNO at 19.02 for a 1.0% gain. 
• Sold ANF at 39.95 for a 0.5% gain. 
• Covered SU at 32.71 for a 0.3% loss. 
• Sold MA at 76.21 for a 2.9% loss. 
• Will look to add 1-2 new additional position today. 
• Short 10% / Cash 90% 
• Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX: