The U.S. stock market indexes were mixed yesterday, as investors weighed budget crisis deal, economic data announcements and quarterly earnings releases. The S&P 500 managed to reach a new all-time high at 1,733.45, gaining 0.6% vs. Wednesday’s closing price. However, it is only slightly above the September 19 high of 1,729.86. The nearest important level of support is at around 1,700-1,710. The market is at the upper limit of a potential rising wedge trend reversal pattern, as we can see on the daily chart:

Expectations before the opening of today’s session are mixed, with index futures gaining between 0.1% and 0.4%. The technology stocks sector is relatively stronger, following yesterday’s better-than-expected quarterly earnings report from Goggle Inc. The main European stock market indexes have gained between 0.1% and 0.4%. Investors will wait for the Leading Indicators announcement at 10:00 a.m. The S&P 500 futures contract (CFD) remains in a short-term uptrend, consolidating around the level of 1,730. The nearest important support is at 1,710-1,715, as the 15-minute chart shows:

Our intraday outlook, as well as our short-term outlook remains neutral for now, as there may be some profit-taking pressure 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