The main U.S. stock market indexes were mixed yesterday, with the technology stocks sector relatively weaker this time as investors sold Apple stocks on announcement of the new iPhone models. The S&P500 index closed above the August 15 daily gap down of 1,679.61-1,684.83, making its way through the July-August consolidation range. The potential level of resistance is at 1,700-1,710, marked by the August 2 all-time high of 1,709.67. Investors hope for the long-term uptrend to continue, despite Fed tapering fears. The nearest important support level is at 1,672.40-1,674.32, marked by the Tuesday’s daily gap up, 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 been mixed. Investors will now wait for the Initial Claims data announcement at 8:30 a.m. The S&P500 futures contract (CFD) continues its short-term uptrend, testing the resistance level at around 1,680-1,690. However, there may be growing profit-taking pressure as the market approaches the July-August consolidation zone. The nearest important support is at around 1,665, marked by the late August local top, as the 15-minute chart shows:

Thank you,
Paul Rejczak