Sep 23, 2014
Home| Tools| Events| Blogs| Discussions| Sign UpLogin


Pro Farmer Tech Talk

RSS By: Jim Wyckoff, Pro Farmer

Pro Farmer technical analyst Jim Wyckoff's daily thoughts.

Jim's Morning Markets Report--May 16

May 16, 2012

Wednesday, May 16--Jim Wyckoff's Morning Web Log

* JIM'S MARKET THOUGHT OF THE DAY *

The European Union debt and financial crisis has ratcheted
up another notch Wednesday morning. After Tuesday’s failed
efforts by Greek politicians to form a coalition government,
fresh Greek elections are now scheduled for mid-June.
Concerns regarding Greece leaving the Euro zone are high, as
the Greeks’ commitment to financial austerity is highly
questionable. Spanish and Italian bond yields rose
overnight, which is also a concern for the market place.
German bond yields hit a record low overnight, while U.S.
Treasury bond and note futures prices hit fresh contract
highs. Importantly, emerging market currencies, including
the Australian dollar, are under strong selling pressure as
the perceived safety of the U.S. dollar is sought. There is
talk that FOREX trading liquidity could dry up, especially
in the emerging market currencies, if there continues to be
a rush for the greenback. The key questions on traders’
minds Wednesday morning: Will the EU powers that be once
again scramble and pull the bloc back from the brink? Or,
will the latest developments in the EU be the ones that send
the bloc over the cliff and ignite a global debt contagion?-
-Jim

U.S. STOCK INDEXES

S&P 500 futures: Prices hit a fresh 3.5-month low overnight
and then rebounded modestly on short covering. The shorter-
term moving averages (4-, 9- and 18-day) are bearish early
today. The 4-day moving average is below the 9-day and 18-
day. The 9-day is below the 18-day moving average. Short-
term oscillators (RSI, slow stochastics) are neutral to
bearish early today. Today, shorter-term technical
resistance comes in at Tuesday’s high of 1,346.30 and then
at high of 1,363.00. Buy stops likely reside just above
those levels. Downside support for active traders today is
located at the overnight low of 1,321.00 and then at
1,300.00. Sell stops are likely located just below those
levels. Wyckoff's Intra-day Market Rating: 5.0

Nasdaq index futures: Prices hit a fresh three-month low
overnight. The shorter-term moving averages (4- 9-and 18-
day) are bearish early today. The 4-day moving average is
below the 9-day and 18-day. The 9-day average is below the
18-day. Short-term oscillators (RSI, slow stochastics) are
neutral to bearish early today. Shorter-term technical
resistance is located at 2,600.00 and then at Tuesday’s high
of 2,616.25. Buy stops likely reside just above those
levels. On the downside, short-term support is seen at the
overnight low of 2,563.75 and then at 2,550.00. Sell stops
are likely located just below those levels. Wyckoff's Intra-
Day Market Rating: 5.0

Dow futures: Sell stops likely reside just below technical
support at 12,600 and then at Tuesday’s low of 12,580. Buy
stops likely reside just above technical resistance at
12,650 and then at 12,700. Shorter-term moving averages are
bearish early today, as the 4-day moving average is below
the 9-day and 18-day. The 9-day moving average is below the
18-day moving average. Shorter-term oscillators (RSI, slow
stochastics) are neutral to bearish early today. Wyckoff's
Intra-Day Market Rating: 5.0

U.S. TREASURY BONDS AND NOTES

June U.S. T-Bonds: Prices hit another fresh contract high
overnight and then backed off a bit. Safe-haven buying has
been featured recently. Shorter-term moving averages (4- 9-
18-day) are bullish early today. The 4-day moving average is
above the 9-day and 18-day. The 9-day is above the 18-day
moving average. Oscillators (RSI, slow stochastics) are
neutral early today. Shorter-term resistance lies at the
overnight contract high of 146 31/32 and then at 147 even.
Buy stops likely reside just above those levels. Shorter-
term technical support lies at 146 even and then at
Tuesday’s low of 145 24/32. Sell stops likely reside just
below those levels. Wyckoff's Intra-Day Market Rating: 5.5

June U.S. T-Notes: Shorter-term moving averages (4- 9- 18-
day) are bullish early today. The 4-day moving average is
above the 9-day. The 9-day is above the 18-day moving
average. Oscillators (RSI, slow stochastics) are bearish
early today. Shorter-term resistance lies at the contract
high of 133.19.5 and then at 134.00.0. Buy stops likely
reside just above those levels. Shorter-term technical
support lies at 133.00.0 and then at 132.28.0. Sell stops
likely reside just below those levels. Wyckoff's Intra-Day
Market Rating: 5.0

U.S. DOLLAR INDEX

Prices are firmer in early trading and hit a four-month high
overnight. Bulls have solid upside momentum amid safe-haven
buying. Slow stochastics for the dollar index are bearish
early today. The dollar index finds shorter-term technical
resistance at the overnight high of 81.74 and then at 82.00.
Shorter-term support is seen at the overnight low of 81.41
and then at 81.16. Wyckoff's Intra Day Market Rating: 6.0

CRUDE OIL

Crude oil prices are trading lower and hit a six-month low
of $91.81 overnight. Bears have solid downside technical
momentum on their side. In June crude, look for buy stops to
reside just above resistance at $93.00 and then at $94.00.
Look for sell stops just below technical support at the
overnight low of $91.81 and then at $91.00. Wyckoff's Intra-
Day Market Rating: 3.5

GRAINS

Markets were mostly lower in overnight trading, amid the
“risk off” trader mentality in the market place. The key
outside markets are bearish for grains early today—higher
U.S. dollar index and lower crude oil prices. Bearish for
grains is generally favorable planting and growing weather
in the U.S. Corn Belt and the Plains.
 

Log In or Sign Up to comment

COMMENTS

No comments have been posted, be the first one to comment.

Archives

Legacy Newsletter
 

Follow Us

Facebook Twitter You Tube
 

Hot Links & Cool Tools

    •  
    •  
    •  
    •  
    •  
    •  
    •  

facebook twitter youtube View More>>
 
 
 
The Home Page of Agriculture
© 2014 Farm Journal, Inc. All Rights Reserved|Web site design and development by AmericanEagle.com|Site Map|Privacy Policy|Terms & Conditions