FOR THURSDAY: (9/14) Stock cycles look lower for another day and probably also gold and we’ll be patient with this market. N. Korean missile move starting to show up again and that may create discomfort and market is too close to key numbers for any sane person to be buying. Crude now looks higher a few more days and we need to re-evaluate this market.
DEC. E-MINI S & P 500
S & P ANALYSIS FOR THURSDAY: (9/14) We found a new cycle low into Thursday. Support at 2486 and 2480. We’re open to a pullback on Thursday with the 29/30 day cycle and it’s hard to chase this market up toward 2500. Eventually into next week, computer models give a 97% chance for a new high to 2516.75. It seems unlikely with weak cycles today that 2500 will come out. NQ eventually projects 6035. Trade not that excited about the new Apple I-Phone. S & P may move into larger congestion before Sept. 20 FOMC.
OVERALL: Pullbacks into October may only go to 2405 now and then the next push up would to 2580. Not going to top-pick this market.
FUNDAMENTALS: We’re not sure what to do with our Hurricane Andrew comparison as the damage is not as widespread this time but no one knows so far. In the end hurricanes are good for the economy but horrible short-term. The big thing is that the hurricane, N. Korea and the budget deficit are less of an immediate threat and Apple is getting ready to roll out a new I-Phone operating system, Apple X, and in the age of gadgets, what matters more?
CYCLES OVERVIEW: Sideways to lower Thursday; recovering Friday.
