The U.S. stock market indexes are currently down 0.3-0.7%, recovering from the earlier losses as investors hope for a downtrend reversal. The Chicago PMI release came in better than expected earlier in the morning, improving market sentiment. The S&P 500 index remains below the level of 1,700, as well as below the September 16 daily gap up at 1,688.73-1,691.70. The support is at 1,672.40-1,674.32, marked by the September 10 daily gap up (current index’ daily low at 1,674.99). The S&P 500 futures contract (CFD) trades just below a potential resistance at around 1,680, marked by last week’s low. On the other hand, the support remains at 1,665, marked by the previous consolidation, as we can see on the 15-minute chart:

The Nasdaq 100 futures contract (CFD) rebounded sharply, returning above the level of 3,200, which is a positive sign. The nearest important level of resistance remains at around 3,230-3,240. Still with no clear trend, either upward or downward, after a fake breakout below the level of 3,200, as the 15-minute chart shows:

Thank you,
Paul Rejczak