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

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

The main U.S. stock market indexes gained 0.5-1.7% on Tuesday, retracing more of their recent move down, as investors were optimistic ahead of Friday’s unemployment data release, among others. The S&P 500 index has managed to reach a new all-time high at 1,885.84. The market may break out above its month-long consolidation. However, there have been no confirmed trend-continuation signals so far. The resistance is at 1,880-1,900. On the other hand, the support remains at 1,840-1,850, as we can see on the daily chart:

Expectations before the opening of today’s session are slightly positive, with index futures currently up 0.1%. The European stock market indexes have gained 0.1-0.3% so far. Investors will now wait for some economic data announcements: ADP Employment Change report at 8:15 a.m., Factory Orders at 10:00 a.m. The S&P 500 futures contract (CFD) broke out above the resistance level of 1,875, which is a positive signal. The nearest important support is at around 1,870-1,875, and the next support remains at 1,850-1,860:

The technology Nasdaq 100 futures contract (CFD) trades at its local highs, retracing most of the late March decline. The resistance is at around 3,700, and the nearest support is at 3,630-3,640. The price is still quite far from the early March long-term highs, remaining relatively weaker than the broad market, as the 15-minute chart shows:

Thank you.

Paul Rejczak
Stock Trading Strategist
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