The markets started the day on a high note yesterday, influenced by what seemed
to be an agreement between Germany and France to endorse fiscal discipline into
EU treaties. But just after lunch in New York, 15 of the euro zone countries
were placed on negative credit watch by S&P. Two of the countries were
triple-A-rated Germany and France, along with the Netherlands, Austria, Finland
and Luxembourg. At the close, the Dow Jones Industrial Average was up 0.65%, the
S&P 500 rose 1.03%, and the Nasdaq gained 1.1%. Advancers led decliners on the
NYSE by 3.5-to-1, and on the Nasdaq, advancers led by 2.3-to-1. The NYSE traded
891 million shares while the Nasdaq crossed 449 million shares. Despite more
volatility than we saw on Friday, little has changed with the technical picture.
In order to keep the momentum positive, the indices must punch through
significant resistance. For the S&P 500, the first resistance is at the 200-day
moving average and the bearish resistance line, both at 1,265, then the November
high at 1,278, and the October high at 1,292. Support for the S&P 500 is at
1,220.
No comments:
Post a Comment