Intraday Market Commentary From Stifel Nicolaus - September 1
From Stifel Nicolaus' Elliot Spar
Buyers got control from the get go today and the better than expected ISM data at 10 am pushed the S&P 500 and Nasdaq Comp right through their resistance levels of 1065 and 2155. Where are the doctor doom and gloomers today? Let’s get an updated outlook from Roubini, Feldstein, Rosenberg. Not now, CNBC has to wait for a big down day to bring those guys out so the public keeps watching that station.The S&P has stalled out just below its 50 day moving average sitting at 1081. With the NYSE a/d of 7 to 1 positive, I expect any pullback this afternoon to be minor. Assuming a strong close today, the market will be faced with the weekly unemployment claims tomorrow, factory orders and pending home sales. Any one of these could derail this rally but it is not the news but the market’s reaction to it that matters most.
INDEX IN FOCUS
.TRAN 1 4268.21 (+ 145.58)
Today’s move has taken the Transports thru downtrend line resistance and its 50 and 200 day moving average. 4350, next target.
VOLATILITY INDEXES IN FOCUS
VIX and VXN
Their 200 day moving average s are just below at 23.43 and 24.20 respectively. These levels may hold if the S&P makes a run for 1100. Selective profit taking or hedging near 1100 should be considered.
COMMODITY IN THE NEWS
GC/ZO1 1247.30 (-3.0)
Ran into trouble this morning at the May-June highs. Check with us for overwriting ideas in the gold stock names.
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