US equity indexes closed on a weak note, SPX -7pts (0.2%) at 4219. Nasdaq comp’ -0.1%. Dow -0.4%. The Transports settled -1.2%.
sp’daily5
nasdaq comp’
transports
Summary
SPX: another day of considerable chop, if leaning a little weak in the late afternoon to settle -7pts (0.2%) to 4219. Yesterday’s black candle played out. Momentum ticked lower, and will be prone to turning negative. I would note the 50dma at 4155, as a Thursday drop to the 4160/50s is a high threat.
NAS: settling -13pts (0.1%) to 13911. Yesterday’s black candle played out… if fractionally. Soft support 13700s.
Trans: the fifth day lower of six, settling -192pts (1.2%) to 15288, the first close below the 50dma since early Feb’.
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VIX’daily
Volatility was subdued, the VIX settling +4.8% to 17.89. Momentum will be prone to turning positive within 1-2 days. Natural target would be the key 20 price threshold, with secondary of 23/24s. If Mr Market is upset at ‘hot CPI’ data, it’d not be surprising to see a spike to the latter.
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Looking ahead by 6pm EST