Daily Update

S&P weekly cycle continues to do it job bringing in strong gains. Futures closed today at 2821 from yesterday's close of 2803. So far, from the lows, we are already up by ~100 points in 4 days. Next, we target 2838 in cash market. Right now, there is heavy overhead resistance that has not been cleared since past Oct' 2018.  Probability is high we clear it this time. For tomorrow, very short term cycles show early weakness followed by gains.

Reversal in US Dollar daily cycle caused decline to 96.34 closing at 96.42. Right now price is sitting at support trend line. A close below 96.10 would be bearish. Unless cycles do inversion (high becomes a low and vice-versa), daily cycles are expecting continued lower US Dollar for next couple of days.

US Dollar daily chart - 03/13/2019

For January, new orders came at 0.4% m/m. However, excluding aircrafts, orders contracted by -0.1% Good news is core capital goods jumped by 0.8% m/m. Primary decline came in vehicles at -1% m/m. PPI came at a soft 0.1% m/m. Construction spending jumped 1.3% - another good news.

Tomorrow, we get jobless claims at 8:30 am, new home sales at 10:00 am and fed balance sheet at 4:30 pm.