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Morning Market Rap 02/07/22 by CTG

SPY / QQQ / Vix

SPY 5 days, hourly candles S&P futures trading sideways in Friday's RTH range 446.80 the corresponding futures low

449.98 the corresponding futures high

SPY 3 months, daily candles Bulls looking to set a daily "higher low" off the 200 day MA. Break the highs from last Thurs/Fri and that daily higher low will be set at Friday's low. Break today's inside bar lower, and the search for that higher low continues. 443.83 the low from Friday and first support

443.33 the 200 day MA

439.81 next

427.82 the area bulls need to defend, and find that daily "higher low" anywhere above 451.14 the 150 day MA

452.78-452.92 the highs(s) from last Thurs/Fri

453.05 small open gap

458.12 next resistance

460.64 the declining 50 day MA after that

QQQ 5 days, hourly candles Nasdaq futures trading sideways in Friday's RTH range 356.20 the corresponding futures low

359.36 the corresponding futures high

QQQ 3 months, daily candles Searching for that daily "higher low" here as well. Bulls hoping we don't give back much more than what we saw Thurs/Fri, or confidence will take hit 351.97 the low from Friday and first support

351.52 next

337.95 the spot bulls are looking to set that next daily "higher low" anywhere above

361.40-361.93 the highs from last Thurs/Fri, and the spot bulls are looking for continuation above to feel confident the new daily higher low gets set at Friday's low

364.29 open gap

366.38 the 200 day MA

370.10 the recent bounce high

XLF 3 months, daily candles Financials one of the strongest recent performers - and has seen the best bounce off the recent fear lows


XLE 3 months, daily candles Energy the other standout performer with a much different look here than others - Continues to make higher recent highs, and trading at it's highest levels since '18-'19.

This is the other sector which has helped keep the S&P 500 stronger recently.

Feb Vix futures 3 months, daily candles We saw a halt to the vol crush last week, and the first little "tremor" back higher (as broad markets started daily consolidation), which are common after the big spike/back off we saw to end January into February.

Testing Friday's lows currently.

Spot Vix 3 months, daily candles Inside bar so far today; A break lower and we'll be looking right back to the lows from last week, set just above the psychological 20 level at 20.46.A break higher and we'll continue to watch for a daily "lower high" anywhere under the recent spike highs which pushed almost to 40. With the Vix in the low 20s, a wide range of intraday movement should still be anticipated.

https://www.briefing.com/stock-market-update

Futures edge higher in tentative start to the week

07-Feb-22 07:59 ET

Market is Closed

[BRIEFING.COM] S&P futures vs fair value: +15.40. Nasdaq futures vs fair value: +18.80. The S&P 500 futures trade 15 points, or 0.3%, above fair value in a tentative start to the week. The market continues to assess the implications of tighter monetary policy, higher interest rates and business costs, and a potential Russian invasion of Ukraine.

Corporate news has also been a focal point this morning. Notably, Spirit Airlines (SAVE 24.35, +2.62, +12.1%) and Frontier Airlines (ULCC 12.08, -0.31, -2.5%) have agreed to merge in a $6.6 billion cash-and-stock deal, which would create the 5th largest airline in the U.S., according to CNBC.

In addition, Peloton (PTON 31.98, +7.38, +30.0%) has jumped 30% after reportedly drawing acquisition interest from Amazon.com (AMZN 3158.00, +5.21, +0.2%) and Nike (NKE 146.00, +0.61, +0.4%). Tyson Foods (TSN 93.35, +5.06, +5.7%) and Hasbro (HAS 96.00, +2.08, +2.2%) both beat top and bottom-line estimates.

U.S. Treasury yields have edged lower after rising noticeably last week. The 2-yr yield is down two basis points to 1.30%, and the 10-yr yield is down one basis point to at 1.92%. The U.S. Dollar Index is down 0.1% to 95.36. WTI crude futures are down 0.8%, or $0.76, to $91.55/bbl.

Separately, today's data will be limited to the Consumer Credit report for December (Briefing.com consensus $25.0 billion) at 3:00 p.m. ET. The key report this week will be the Consumer Price Index for January on Thursday.



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