Last night, the S&P 500 futures opened lower but rallied early into the Asian session and took off on the Euro open making it up to 1950 more than 50 handles from Thursday’s low before fading off by more than 10 handles into the U.S. cash open.
At the regular trading hours open in the U.S. the index futures were at 1938.75 after trading to a cash hours high of 1942.50 midday the futures began to tank mostly based on the biotech sector dragging down the market. The ESZ traveled lower down to the 1910.50 price, 28 handles from the open and 40 handles from the globex high before finding a low there heading into the closing hour in which the futures rallied 15 handles up to 1925 before settling at 1919. It went from a tremendously bullish trade overnight to a negative close.
Heard across the newswires today was the FED’s Bullard speech in which he reiterated much of his prior hawkish stance as well as Kansas City Fed’s George who will be a voting member next year stating that many economist would recognize that the U.S. is at full employment. Also the U.S. House of Representative speaker John Boehner offered his resignation in the midst of a government shut down scare, in response to this Goldman Sachs (NYSE:GS) issued a statement communicating that his resignation suggests that progress will be made and a shut down likely adverted.
Heading into next week is a full economic calendar as well as the end of the third quarter and the beginning of quarter four. All of this should set up a nice trading range.
Seen Today In The IM Pro Trading Room:
Chicagostock ( 10:44:36 AM ): i think we close below 1920
Floor Pivots For Tomorrow’s RTH E-mini
R3 1988.50
R2 1956.25
R1 1937.50
PP 1924.00
S1 1905.50
S2 1891.75
S3 1859.50