S&P 500 Update (July 9): Traders Look For Higher Lows

Broad Stock Market Futures Trading Outlook for July 9, 2018

The S&P 500 (NYSEARCA:SPY) has broken out above overhead resistance just as we expected (see Friday’s article). The ensuing push higher has taken us to the next level of resistance.

Longer-term time frames remain neutral to bullish. As traders, we’ll look for higher lows to take hold at prior resistance levels (now support).

S&P 500 Futures

Higher lows hold across the board but buying breakouts open risk.

Neutral momentum beneath still holds.  A test of higher lows that confirm will strengthen the move upward as earnings hold and traders remain bullish overall.   The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.

• Buying pressure intraday will likely strengthen with a bullish retest of 2774.75
• Selling pressure intraday will likely strengthen with a bearish retest of 2761.75
• Resistance sits near 2777.5 to 2781.5, with 2784.75 and 2789.75 above that.
• Support sits between 2767.5 and 2762.5, with 2759.75 and 2755.75

NASDAQ Futures

Big bullish bounce from the end of the week with traders approaching prior highs.  Resistance is present but momentum is rising yet divergent.  Again, buying the breakouts will open risk. The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.

• Buying pressure intraday will likely strengthen with a bullish retest of 7277.75
• Selling pressure intraday will likely strengthen with a bearish retest of 7244.5
• Resistance sits near 7284.5 to 7314.5 with 7327.5 and 7358.5 above that.
• Support sits between 7254.5 and 7239.5, with 7216.5 and 7189.75 below that.

WTI Crude Oil

Deep support fade from Friday held with a breach of Friday’s high in today’s trading but with a failure to hold.  Higher lows should still hold from larger time frames as our bullish environment remains strong – but it is clear to see how deep the dips can be in this space.   The bullets below represent the likely shift of trading momentum at the successful or failed retests at the levels noted.

• Buying pressure intraday will likely strengthen with a bullish retest of 74.48
• Selling pressure intraday will strengthen with a bearish retest of 73.46
• Resistance sits near 74.36 to 74.54, with 74.81 and 75.19 above that.
• Support holds near 73.28 to 73.07, with 72.74 and 72.27 below that.

Twitter:  @AnneMarieTrades

The author trades stock market futures every day and may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.