9:00am (EST)
The bulls made it back-to-back wins on Thursday to even the score for the week. The pop higher also put them in the driver’s seat for the weekly win and the monthly win could still go either way as well given the current volatility. The bears appear to have lost some momentum but in these types of markets you can never count them out.
The Dow added 37 points, or 0.3%, to finish at 13,021. The blue-chips traded to a high of 13,062 shortly after the open but fell to a low of 12,961 once the House Zombie spoke. They were able to recover from the triple-digit drop as buyers bought the dip and held 13,000. The next level of resistance comes in at 13,200 with 12,800 providing backup in case there is slippage.
The S&P jumped 6 points, or 0.4%, to settle at 1,415. The index easily cleared our 1,410 bullish target after testing 1,420 on the open and held up well when the market started to slip. The S&P only fell a point when the Fiscal Cliff rhetoric began and was positive a few minutes later. The next level of resistance is at 1,425 with 1,410 and 1,400 serving as near-term support.
The Nasdaq gained 20 points, or 0.7%, to close at 3,012. Tech reached a peak of 3,017 and held positive territory throughout the session. The high came in at 3,017 and the next battleground is up ahead at 3,050. If 3,000 fails to hold, look for 2,975-2,950 to hold on a pullback.
It has been a volatile week of trading and we mentioned last week that this could be a bullish week depending on Friday. The last trading day of November has been bearish in recent years as the market has fallen in 11 of the last 15. The losses have averaged nearly a half-percent which would be a 65 point decline for the Dow if history holds up. This would get the blue-chips back below 13,000 and its 200-day MA but the S&P would still be above 1,400 and its 200-day MA (Moving Average).
Futures are showing a mixed open and look like this: Dow (+2); S&P (-1); Nasdaq (+2). Subscribers, check the Members Area for the updates.