Directional Bias For The Day:

• S&P Futures are higher;
• The odds are for an up day; watch for break below 3355.25 for change of fortune
• Key economic data due:
  • Fed Chair Powell’s Humphrey-Hawkins Testimony
  • JOLTS Job Openings ( est. 6.93M; prev 6.80 M) at 10;00 AM

Directional Bias Before Open:

Weekly: Uptrend Daily: Uptrend Under Pressure 120-Min: Up

30-Min: Up 15-Min: Up-Side 6-Min: Side

Key Levels:

• Critical support levels for S&P 500 are 3351.96, 3334.29 and 3317.77
• Critical resistance levels for S&P 500 are 3363.64, 3375.20 and 3398.13
• Key levels for eMini futures: break above 3364.75, the high of 9:30 PM and break below 3355.25, the low of 4:00 AM

Pre-Open

• On Monday, at 4:00 PM, S&P future (March 2020) closed at 3351.50 and the index closed at 3352.09 – a spread of about -0.50 points; futures closed at 3353.00 for the day; the fair value is -1.50
• Pre-NYSE session open, futures are higher – at 9:00 AM, S&P 500 futures were up by +10.75; Dow by +117 and NASDAQ by +45.25

Markets Around The World

• Markets in the East closed higher – Tokyo was closed;
• European markets are higher
• Currencies:
  

  Up	Down
  Dollar index GBP/USD USD/JPY USD/CHF AUD/USD NZD/USD	EUR/USD USD/CAD INR/USD

• Commodities:
  

  Up	Down
  Crude Oil Copper Platinum Sugar Cotton Cocoa	NatGas Gold Silver Palladium Coffee

• Bonds
  • 10-yrs yield is at 1.587%, up from February 10 close of 1.547%;
  • 30-years is at 2.047%, up from 2.020%
  • 2-years yield is at 1.411%, up from 1.403%
  • The 10-Year-&-2-Year spread is at 0.174 up from 0.144
• VIX
  • Is at 14.69 down -0.35 from February 10 close; below 5-day SMA
  • Next high resistance is 21.46, the high of October 2, 2019; the low support is the low was 11.72 on December 26

The trend and patterns on various time frames for S&P 500:

Monthly	Uptrend January 2020 was a red shooting star like candle with long upper shadow and almost no lower shadow Stochastic %K turned below %D from above 90 RSI-9 is above a downtrend line from January 2018 high; turning down just above 70 At the upper band from near the middle band of the 120-month regression channel Sequence of higher highs and higher lows since February 2016 was broken in December 2018 but has resumed since then
Weekly:	The week ending on February 7 was a large green candle with almost no lower shadow and small upper shadow; the three week pattern is like a morning star pattern, albeit in an uptrend Bouncing off the 10-week EMA Stochastic (9,1, 3): %K crossed above %D from near 50; Bearish Divergence RSI (9) turning up after dipping below 60 Last week was up +102.19 or +3.2%; the 5-week ATR is 78.47 Last week’s pivot point=3303.78, R1=3371.89, R2=3416.08; S1=3259.59, S2=3191.48; R1/R2 pivot levels were breached An up week following two down weeks; third in last five weeks and seventh in last ten weeks Near all time highs; Last swing low, 2822.12, was the low on August 5, 2019; last swing high was 3027.98, made during the week of July 22, 2019 Above 10-week EMA; above 39-week SMA and 89-week SMA Uptrend
Daily	A relatively large Bullish Engulfing candle with almost no upper and lower shadows %K again crossed above %D above 90 RSI-9 is turned from above 60; made a double bottom, with lower second bottom, pattern in the last week of January; above 8-day SMA; Above 20-day EMA, 50-day EMA, 100-day SMA and 200-day SMA; Uptrend Under Pressure
2-Hour (e-mini future)	Moving up since 6:00 PM on Sunday after coming close to a support zone, which was earlier a resistance level, the upper bound of a horizontal trading area RSI-21 is from near 30 on Sunday evening to above 70 %K is crisscrossing %D above 80 Above 20-bar EMA, which is above EMA10 of EMA50 Bias: Up
30-Minute (e-mini future)	Moving up since 10:00 AM on Monday Broke above a down-sloping bullish flag on Monday; the pole height is 140 points and the break-away point is 3310.00; the 61.8% extension target is near 3390.00 and the 100% extension target is near 3450.00 RSI-21 is rising from below 40 on Sunday evening to above 60 %K is crisscrossing %D higher Above 20-bar EMA, which is above EMA10 of EMA50 Bias: Up
15-Minute (e-mini future)	Bollinger Band (20, 2.0) is moving sideways to up since 0:30 AM The Bollinger Band is relatively stable and narrow Stochastic (9, 1, 3): %K is crisscrossing %D higher Bias: Up-Side

Previous Session

Major U.S. indices closed higher on Monday, February 10 in mixed volume. Most indices made Bullish Engulfing candles with almost no upper and lower shadows. Only two S&P sectors – Energy and Materials – closed down.

From Briefing.com:

The stock market finished strong on Monday, with shares of mega-cap technology companies propelling the S&P 500 (+0.7%) and Nasdaq Composite (+1.1%) to new closing records. The Dow Jones Industrial Average (+0.6%) and Russell 2000 (+0.7%) performed in-line with the S&P 500.

[…]

In turn, the consumer discretionary (+1.3%) and information technology (+1.4%) sectors were among the sector leaders, as well as the defensive-oriented real estate sector (+1.2%). The energy sector (-0.8%) continued to underperform, as WTI crude ($49.57/bbl, -0.78, -1.6%) fell back below $50/bbl amid lingering concerns about end-demand due to the coronavirus.

[…]

U.S. Treasuries posted modest gains, pushing yields lower across the curve. The 2-yr yield declined one basis point to 1.38%, and the 10-yr yield declined three basis points to 1.55%. The U.S. Dollar Index increased 0.2% to 98.85.

Investors did not receive any notable economic data on Monday.