So far the market direction outlook I expressed last night looks to be on track. Let’s take a look at the indexes as the day has progressed.
Dow Market Direction Chart
The one minute intraday Dow market direction chart is looking good. The Dow jumped up this morning and by shortly after 10:00 AM it had set a high of around 16565. I am not expecting that high to be broken today. A lot of this was investor enthusiasm at the outset. From there the market direction has shifted down to the tight range of 16498 to 16524. A close around 16524 or just above would be very nice for today and would set the market up for another move higher tomorrow.
S&P 500 Market Direction Chart
The S&P is a bit stronger than the Dow. Below is the 1 minute intraday chart for April 1 to 3:04. With the jump this morning it set another new all-time high up just above 1884. The market then sold back down to 1878 but recovered quickly and pushed back above the 1881 level. A close above 1881 today would be excellent for setting the S&P up for further gains into Wednesday. The chance of a higher close than 1884 is slim today.
NASDAQ Market Direction Chart
Last is the one minute NASDAQ intraday chart for April 1 to 3:08. It is probably the strongest of the three indexes this morning as investors pile back into tech stocks which last week were beaten down. The low of 4237.20 should not be revisited today. The high of 4257 this morning was followed by a drop back to the 4237 level but the recovery back toward 4257 has been an easy push for investors. At 3:08 the NASDAQ is up to 4253 and while I am not expecting it to break through and close above 4257, a close around the 4253 level would be very bullish for tomorrow.
Market Direction Outlook Into The Close For April 1 2014
As long as no politicians speak further or the Ukrainian Crisis re-emerge, the market direction is building a lot of strength to push still higher. Tomorrow may see some weakness in the morning but the direction up is on track. Today I have marked above what I am expecting for the closings. Any close back near the lows of the day will not be a good sign for a continuation of the advance. I see no signs that would indicate that will happen in the last half hour. Everything looks right on track for further gains ahead.
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