The U.S. stock market indexes lost 0.1-0.3% yesterday, as investors took some profits after the recent run up. For now, it may only be a correction within an uptrend. The S&P500 index reached the resistance level at around 1,680-1,685, marked by the July-August consolidation’s lower limit, after filling the August 15 daily gap down of 1,679.61-1,684.83. The potential resistance is at around 1,700-1,710, marked by the August 2 all-time high of 1,709.67. On the other hand, the support level remains at 1,672.40-1,674.32, marked by the September 10 daily gap up. The index stopped at the level of May 22 local top (1,687.18), as we can see on the daily chart:

Expectations before the opening of today’s session are virtually flat as the main European stock market indexes have lost 0.2-0.3%. Investors will now wait for some U.S. economic data announcements: Retail Sales report, Producers Price Index at 8:30 a.m., Michigan Sentiment at 9:55 a.m. and Business Inventories at 10:00 a.m. The S&P500 futures contract fluctuates near the resistance level at around 1,680-1,690. The support level is at around 1,665, marked by the recent local tops. There is some uncertainty near the first half of August consolidation range, as the 15-minute chart shows (distorted a little by the December futures continuous data adjustment):

Thank you,
Paul Rejczak