Morning Madness

Bearish

• Futures are currently slightly positive
• Jobless Claims came in at 409k vs 405k expected
• Continuing Claims came in at 4103k vs 4070k
• EUR/USD showing some weakness as it pushes below the upward trendline - now bouncing off of the 200 day moving average
• GBP/USD is now back under the 150 day moving average also showing weakness
• USD/JPY is bouncing nicely off of support and the 50 day moving average
• A sell off here would create a double top in the S&P500
• Bears still look to overtake the 1262 price level
• Bulls need to continue to hold and push higher above the 1276 price level

Stock Watch

CSCO

 

CSCO has formed a nice round bottom and is approaching its gap.  Would wait for a break of 20.96 before going long on this trade.  Could see a nice gap fill on this stock.  Also good to see the 50 day moving average now trading below the price action which will add extra support and a stop-loss point.

RIG

RIG is finally coming back from the BP disaster as it looks to fill the gap and continue the push up.  It has been on a nice run up since last June.  It looks to be leveling out here a bit for some consolidation before another push higher.  It follows the 50 day moving average nicely so look to that for added support/resistance.  Wait for a break of 75.34 before going long on this position.