Briefly: In our opinion, no speculative positions are justified.

Our intraday outlook is now neutral, and our short-term outlook is neutral:

Intraday outlook (next 24 hours): neutral
Short-term outlook (next 1-2 weeks): neutral
Medium-term outlook (next 1-3 months): neutral
Long-term outlook (next year): bullish

The main U.S. stock market indexes gained between 1.2% and 1.5% on Monday, retracing some of their last week's decline, as investors reacted to better-than-expected economic data releases. The S&P 500 index bounced of its support level at around 2,040-2,050, marked by early March local lows. The nearest important level of resistance is at 2,090-2,100, marked by previous local lows, among others. For now, it looks like further fluctuations within a medium-term consolidation following October-November rally, as we can see on the daily chart:

Expectations before the opening of today's trading session are negative, with index futures currently down 0.5-0.6%. The European stock market indexes have lost 0.1-0.7% so far. Investors will now wait for some economic data announcements: Case-Shiller 20-city Index at 9:00 a.m., Chicago PMI at 9:45 a.m., Consumer Confidence at 10:00 a.m. The S&P 500 futures contract (CFD) trades within an intraday downtrend, following yesterday's move up. The nearest important level of resistance is at around 2,075-2,080, marked by local highs. On the other hand, support level is at 2,060-2,065:

The technology Nasdaq 100 futures contract (CFD) trades within a similar intraday downtrend, as it bounces off resistance level at around 4,380. On the other hand, level of support is at 4,350, marked by recent local low, as the 15-minute chart shows:

Concluding, the broad stock market retraced some of its last week's selloff on Monday, as investors reacted to economic data announcements, among others. For now, it looks like further medium-term consolidation, following last year's October-November rally. We prefer to be out of the market, avoiding low risk/reward ratio trades. We will let you know when we think it is safe to get back in the market.

Thank you.

Paul Rejczak
Stock Trading Strategist
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