MomentumOptionsTrading.com Midday Update for 5/21/14
Bulls Push Back Test to Resistance/ New Trade
Futures were showing a nice pop at the open and a rebound off Tuesday’s lows but the bigger picture is if the bulls can hold their gains.
There has been some slippage ahead of the Fed minutes with the small-caps struggling and today’s close should provide additional clues on how the rest of the week (and May) might play out.
Some of the Fed heads have been speaking ahead of today’s 2pm news but their rhetoric won’t change the economic picture which is still cloudy with a chance of rain.
Heading into the second half of trading, the Dow is up 117 points to 16,492 while the S&P 500 is gaining 8 points to 1,881. The Nasdaq is higher by 14 points to 4,111 and the Russell 2000 is down a point to 1,096. The S&P 500 Volatility Index ($VIX, 12.38, down 0.58) is back below 12.50 (for now).
There is a lot to talk about with the current trades, including BBBY which is testing the $60 level. There is also a New Trade on a company reporting earnings on Thursday. Subscribers, check the Members Area for the updates.