Market Sense and Sentiment

[Bernard Ng]

IndexPulse TrendWatch for Wednesday

Overall Market:
Long Term: Short
Medium Term: Short
Short Term: Flat

Time Frame and Trading Signals: as stated in iBox

Futures are slightly red. FTSE is going no where. TNX gapped down, sinked a bit more and bouncing back. I don't see a direction so far, but I expect a gap and snap situation to happen today, as we have some pretty bullish patterns formed on the indexes yesterday. However, that snap won't be a big one, it's a kiss of death at 8150 max. A school of thought said that we had kissed the QQQ max pain price, now we should kill some calls... hopefully that would happen after that snap. I'm no virgin of being wrong.

No economic number will come out during the trading day.

INDU's 5 day MACD support at -60, resistance at +80. Watch the next crossover for the snap and short it back close to the MACD resistance.

INDU should have a trading range between 7850 and 8150.
NDX should have a trading range between 975 and 1030.
SPX should have a trading range between 830 and 865.
A rather big range today, as I have to take care of both up and down side.
JMHO.