Thursday, December 13, 2012

S&P Futures Update for Dec 14, 2012

Today was contract rollover hence all references are now shown using the March, 2013 contract. Net is - the monthly and weekly trend remains up. Thursday's profile suggests it was a Liquidation Day - old business versus a combination of old business and new money selling. Wednesday's poor high suggests that the auction is not complete to the upside. Also, both Wed and Thursday's profile had several anomalies. Anomalies are often the result of forcing action such as short covering and long liquidation - market action that doesn’t always allow for rotational, investigative auctions. They produce high odds of being revisited. 

If we continue to auction lower then the 1400-1402 area should offer support. Thursday's rally high was 1417 - which is resistance. The first sign of change will be acceptance back above this level.

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