It was a day of considerable pre-debate chop, with the SPX settling +17pts (0.5%) to 3453. Meanwhile, WTIC settled +61cents (1.5%) to $40.64.
sp’weekly1b
WTIC daily
Summary
sp: as things are, we’re still broadly lower for the week. Weekly momentum is subtly weakening. The bears need a break <3400 to have confidence of downside ahead of the election.
wtic: oil continues to see considerable chop around psy’40. Major resistance 42/43s, with support at the recent $36s.
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Looking ahead
Friday will see the market’s reaction to the Presidential debate.
Data: PMI manu/serv’ flash.
Earnings: CLF, AXP
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PF chart of the day
Computer is holding to the $33s.
GDX, daily
Today wasn’t so great for the miners, with GDX settling -1.8% to $39.19. The $33s aren’t that far down… where the 200dma is lurking. As ever, any main market downside would be a pressure on the miners.
Today saw Goldman Sachs tout Gold $2300s in 2021. That looks overly conservative, not least compared to Bank of America’s ‘$3K by end 2021’ target. Yours truly is seeking 2400/2500. First though… we still might see those GDX $33s, which would make for a far better add/buy level.
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Ohh, and yes, I intend to watch Trump and Biden this evening. It will probably be car crash TV at its finest. I could understand anyone not tuning in… and instead watch something less horrific like… ‘Raised by Wolves’.
… and for the record, Trump still appears on track for a second term. It will be interesting to see how the mainstream react to what happens in tonight’s ‘big show’.
Goodnight from London