Posted By: Ilan Levy-Mayer Vice President, Cannon Trading Futures Blog
Market rallied close to 3% on the SP and Dow Jones. Again it did so on much lighter volume than when it sold off last few weeks but nonetheless one CANNOT argue with price action. We are approaching the 50% retracement level from the highs made on July 8th to lows made Aug 9th. That level on the mini SP is 1212.50. I believe that the 1212 to 1219 zone is an important resistance level to watch. If we break above it with meaningful volume, it may be a sign of further room to the upside, on the other hand if we fail against it and volume picks up with price action going lower, it may be a sign of resumed selling. As always in our business… time will tell. Plenty of economic reports this week, both in the US and in Europe. Last but not least it is the end of the month…. Wishing you great trading this week and Daily chart of the mini SP 500 for your review below.
Daily Futures chart for Mini S&P 500 from August 29th, 2011
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Economic Reports Tuesday August 30th, 2011
S&P/CS Composite-20 HPI y/y
CB Consumer Confidence
FOMC Member Kocherlakota Speaks
FOMC Meeting Minutes
Economics Report Source: http://www.forexfactory.com/calendar.php
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