The U.S. stock market indexes lost between 0.4% and 0.6% yesterday, as investors took profits following recent move up. The market reacted to some mixed corporate quarterly earnings reports, correcting its uptrend a little. The S&P 500 index is above the upper limit of a potential May-October rising wedge pattern. The nearest important level of support is at 1,733.45-1,735.74, marked by last Friday’s daily gap up, and the next support is at 1,729.86, marked by the September 19 high. On the other hand, the resistance remains at 1,759.33, marked by Tuesday's all-time high, as we can see on the daily chart:

Expectations before the opening of today's session are positive, with index futures currently gaining 0.4%. The main European stock market indexes have gained 0.2-0.5% so far. Investors will now wait for some economic data announcements: Initial Claims and the Trade Balance at 8:30 a.m., New Home Sales at 10:00 a.m. The S&P 500 futures contract (CFD) trades near its recent highs, extending a short-term consolidation. The nearest resistance level is at around 1,750, and the support remains at 1,735, as the 15-minute chart shows:

Our intraday outlook is neutral, and our short-term outlook is now neutral, as there may be some further uncertainty following recent rally:

Intraday outlook: neutral
Short-term outlook: neutral
Medium-term outlook: neutral
Long-term outlook: bullish

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Thank you,
Paul Rejczak