S&P short-term down cycles continue to bring weakness. From a high of 2939 in S&P futures almost close to the pre-determined cycle peak (see chart below) on Tuesday to a low of 2914 today, so far the pullback has been about 25 points. S&P futures closed today at 2923. There is still some more room for pullback before the cycle bottom assuming price is below the trend level <SP_HT1>
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| S&P Futures - 04/25/2019 |
With buy signal still in the works yesterday, US Dollar Index futures traded as high as 98.04 today before closing lower at 97.89. For the uptrend to continue, price must hold above trend level <DXY_HT1>. EURUSD traded as low as 1.1119 before reversing higher holding the support level at 1.1114.
March durable goods order jumped 2.7% m/m primarily due to aircraft and motor vehicle orders - excluding transportation growth was at 0.4% m/m. Key good news here was 1.3%m/m surge in core capital goods. However, jobless claims unexpectedly ticked higher to 230K. Q1 2019 GDP numbers come out tomorrow at 8:30 am and consumer sentiment at 10:00 am.
