Low Volume, Elevated Market, Negative Bias, In Decision Zone

Volume once again is low and turned to red as the opening came and went and I guess you could say we are in the decision zone, waiting to see where we go next. The resistance to penetrate is far enough above to make it for another day. The support to fall through is close enough to watch that any weakness might trigger another attempt to fall further, so we wait.

Posting a bit late this morning because of Internet connections which seem to plague us from time to time. Message to Comcast: Need to get your act together!

The other day I said you have a 50% chance to correctly guess which way the market was going to open the next morning, but then Mr. Market would still make you wrong. Well, that seems to be the case today as the markets opened up and promptly slid down to yesterday’s close. Currently the DOW is at 13152 and the 500 is at 1401 and taking a breather. I expect we will see a cerial bowl today as the markets fall and rise towards the end of day.

Recapping the first hour, the DOW opened at 13196 up from its close of 13145 and the 500 opened up at 1409 from its close of 1403. The Russell 2000, which I am watching closely opened up at 838 from its close of 832. The $RUT must move up in order for the large caps to follow as I have mentioned before and has been lagging.

WTI oil is at 102 falling a whole point from this morning, Brent is at 122, gold is at 1663, GLD is at 161.39, SLV is at 31.37, SSO is at 57.84 and SPY is at 140.13.

The 8:30 reporting seemed to have little effect as the premarket remained elevated above yesterday’s close, but flat. After the opening the markets started to slide on low to moderate volume. The really important U of M report was met with the market falling further and that is interesting that the market is ignoring excellent news.

@dailyfx:

$USD: U.S. U. OF MICHIGAN CONFIDENCE (MAR F) RISES TO 76.2 FROM 74.3 PREVIOUS. FORECAST WAS 74.5.

$USD: U.S. PCE deflator (YoY) (Feb) rises 2.3% as expected. Prior was 2.4%.

$USD: U.S. PCE deflator (MoM) (Feb) rises 0.3% as expected. Prior was 0.2%.

$USD: U.S. Personal spending (Feb) rises 0.8% vs. 0.6% expected. Prior revised down to 0.4% from 0.2%.

$USD: U.S. Personal income (Feb) rises 0.2% vs. 0.4% expected. Prior revised down to 0.2% from 0.3%.

$USD: U.S. PCE core (YoY) (Feb) rises 1.9% as expected. Prior was 1.9%.

$USD: U.S. PCE core (MoM) (Feb) rises 0.1% as expected. Prior was 0.2%.

$USD: U.S. PCE core (YoY) (Feb) rises 0.1% as expected. Prior was 0.2%.

Written by Gary