The U.S. stock market indexes have opened down 0.9-1.0% on fears concerning Washington’s debt-ceiling crisis. The Chicago PMI report announcement for the month of September came in at 55.7, which is better than expected. Stocks continue their recent downtrend, extending the August-September uptrend’s downward correction. The S&P 500 futures contract (CFD) extends its short-term downtrend, reaching a potential support at around 1,665, marked by the early September consolidation. The nearest resistance remains at around 1,675-1,680, after today’s daily gap down. There are no confirmed downtrend reversal signals, however, the market seems to be oversold in the short-term, as we can see on the 15-minute chart:

The Nasdaq 100 futures contract (CFD) broke below the lower limit of its recent consolidation, marked by the level of support at 3,200, which is a negative sign. The nearest resistance is currently at 3,200, and a potential support is at 3,150-3,160, marked by the previous consolidation, as the 15-minute chart shows:

Thank You,
Paul Rejczak