The main U.S. stock market indexes were mixed between +0.1% and -1.0% on Monday, as investors take some profits following recent rally. For now, it only looks like a correction within an uptrend, however, a deeper retracement cannot be excluded. Both the DJIA index and S&P 500 reached new all-time highs above the psychological levels of 16,000 and 1,800, respectively. The S&P 500 made intraday all-time high at 1,802.33. The nearest important resistance is at around 1,800, and the level of support is at 1,770-1,775, marked by the late October, early November consolidation, as we can see on the daily chart:

Expectations before the opening of today’s session are virtually flat, as the European stock market indexes have lost 0.5-1.0%. Investors will now wait for the Employment Cost Index announcement at 8:30 a.m. The S&P 500 futures contract (CFD) trades in a consolidation at 1,785-1,790. The nearest resistance remains at 1,800. On the other hand, the support is at around 1,780, marked by Thursday’s low, as the 15-minute chart shows:

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

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

The above analysis is the first of today's 2+ Stock Trading Alerts. Stay as updated as possible on the current events and trends on the
stock market by choosing ourStock Trading Alert subscription service

Thank you,
Paul Rejczak