Directional Bias For The Day:

• S&P Futures are higher at 8:45 AM. Futures are at the upper bound of a trading range between 4296.75 and 4281.50
• The odds are for a sideways day to an up day – watch for a break above 4296.75 or a break below 4281.50 for clarity
• The major economic data report due during the day:
  • Trade Balance ( -74.6B vs. -75.8B est.; prev. -60.6B) at 8:30 AM

Directional Bias Before Open:

Weekly: Uptrend Daily: Uptrend 120-Min: Up

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

Key Levels:

• Critical support levels for S&P 500 are 4278.26, 4268.54, and 4263.09
• Critical resistance levels for S&P 500 are 4299.28, 4302.18, and 4312.23
• The key levels for E-mini futures are 4296.75, the high at 7:45 AM, and 4281.50, the low at 4:00 AM

Pre-Open

• On Tuesday at 4:00 PM, S&P futures (June 2023) closed at 4289.75, and the index closed at 4283.85 – a spread of about +6.00 points; the futures closed at 4289.75; the fair value is +0.0
• Pre-NYSE session open, futures were a little higher – at 8:30 AM, S&P 500 futures were up by +3.00, Dow by +2, and NASDAQ by +11.25

Markets Around The World

• Markets in the East closed mixed – Shanghai, Hong Kong, Mumbai, and Seoul closed higher; Tokyo, Sydney, and Singapore closed lower
• European markets are mostly higher – Italy and Switzerland are down
• Currencies (Compared to two weeks ago):

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

• Commodities (Compared to two weeks ago):
  • Energy futures are lower
  • Precious metals are higher
  • Industrial metals are mostly lower
  • Soft commodities are mixed
• Treasuries (Compared to two weeks ago)
  • The 10-year yield closed at 3.699, down -0.1 basis points from two weeks ago;
  • The 30-year is at 3.867%, down -8.4 basis points;
  • The 2-year yield is at 4.496%, up +17.6 basis points;
  • The 10-Year-&-2-Year spread is at -0.799, down from -0.622
  • The 30-Year-&-10-Year spread is at 0.170, down from +0.253
• VIX
  • At 14.12 @ 6:45 AM; up from the last close; below the 5-day SMA;
  • Recent high = 20.81 on May 24; low = 13.95 on June 6
  • Sentiment: Risk-Neutral-Off

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

Weekly:	The week ending on June 2 as a green candle with almost no upper shadow and a lower shadow almost equal to the real body, moving above the upper bound of a symmetrical triangle Stochastic (9,1, 3): %K is above the %D; above 95 RSI-9 is just above 70 The week was up +76.92 or +1.8%; the 5-week ATR  is 106.09 An up week, third in the last five weeks, and sixth in the previous ten weeks; The weekly pivot point=4246.40, R1=4326.64, R2=4370.92; S1=4202.12, S2=4121.88; R1/R2 pivot levels were breached Above 10-week EMA and 39-week SMA; below 89-week SMA Uptrend
Daily	A small Bullish Engulfing candle at the close or Friday’s candle Stochastic (9, 1, 3): %K crossed above the %D; above 90 RSI-9 turned up to just below 70; above 8-DMA Above 20-day EMA, 50-day EMA, 100-day SMA, and 200-day SMA; Uptrend
2-Hour (E-mini futures)	Moving sideways since 10:00 AM on June 2. Broke above a Horizontal Channel between 4205.00 and 4060.00  – the 61.8% extension target is near 4295.00 and the 100% extension target is ear 4350.00 RSI-21 has bounced up near 60 from around 45 after declining from 90 At/above  EMA10 of EMA50, which is above EMA20 Bias: Up-Side
30-Minute (E-mini futures)	Moving sideways since 10:30 AM on June 2 between 4305.75 and 4273.00 – a break above will have a 61.8% extension target near 4324.00 and a 100% extension target near 4336.00 RSI-21 has been moving just below 60 Above EMA 20, which is above EMA10 of EMA50 Bias: Side
15-Minute (E-mini futures)	The Bollinger Band (20, 2.0) has been moving sideways since 9:00 PM on Sunday. The Bollinger Band is expanding a little since 6:45, with the price walking up the upper band. Bias: Side

Previous Session

Major U.S. indices closed higher on Tuesday, June 6, in mixed volume. Dow Jones Transportation Average and Russell 2000 traded in higher volume.

Most of the indices traded within a narrow range. Russell 2000 led the field with a +2.7% gain.

All but four S&P sectors – Technology, Utilities, Healthcare, and Consumer Staples – closed higher.

From Briefing.com:

[…] The three major indices were all in negative territory around midday, but rebounded and ended near their best levels by the close. […] The strength in the broader market was reflected in the 0.7% gain recorded by the Invesco S&P 500 Equal Weight ETF (RSP). The market-cap weighted S&P 500 rose 0.2%. […] The S&P 500 financials sector was the top performer today, advancing 1.3%. Other outperformers included the consumer discretionary (+1.0%), energy (+0.7%), materials (+0.7%), and industrials (+0.6%) sectors. On the flip side, the health care (-0.9%) and consumer staples (-0.5%) sectors were the worst performers among the 11 sectors. The information technology sector (-0.1%) was another notable […] The 2-yr Treasury note yield rose four basis points to 4.52% and the 10-yr note yield settled unchanged at 3.69%. Nasdaq Composite: +26.9% YTD S&P 500: +11.6% YTD Russell 2000: +5.4% YTD Dow Jones Industrial Average: +1.3% YTD S&P Midcap 400: +4.1% YTD […] Overseas: Europe: DAX +0.2%, FTSE +0.4%, CAC +0.1% Asia: Nikkei +0.9%, Hang Seng -0.1%, Shanghai -1.2% Commodities:  Crude Oil -0.26 @ 71.72 Nat Gas +0.03 @ 2.26 Gold +6.70 @ 1981.50 Silver +0.05 @ 23.69 Copper flat @ 3.77