The S&P 500 futures made the most of their 14.5 point gain by midmorning yesterday, staying in a 2-handle range for the last four hours of the trading day. It was a classic “thin to win” rally. Low volume, few economic reports, and very little activity until $1 billion arrived as a big buy on the close. The MiM steadily showed a buy, but we predicted a larger buy in the trading room. We expect more of the same today. Many traders are enjoying a last summer vacation. Those who are still around are mostly in a buying mood and there are more buy stops above.
HIGH: 1968.80 LOW: 1961.40 Early LAST: 1967.00 UP 14.50 handles TOTAL VOLUME: 800k minis; 2.2k bigs MOC: BUY $1billion Slow-Mo in the SPOO’s today…Stayed in a 2 handle range the last 4 hours
FOR TODAY: Consumer Price Index (CPI) Housing Starts Redbook Slow week – Very few economic reports FED minutes on Wednesday and no releases on Friday We all know Mondays start out the week slow, but Friday the S&P did 1.8mil contracts and today including Globex it was only 800k I said at 1930 I thought we would see 1960 before 1900 again, now I think we will see new highs before we see 1930 again All the selling did was build up buy stops