CPI Breaks Nasdaq Out, but S&P Lags Behind

Tech woke up, but can it can continue to lead the market higher?

Technical Edge 

• NYSE Breadth: 48% Upside Volume

• Advance/Decline: 57% Advance 

• VIX: ~$17.25

The ES did about 1.83 million contracts in trading volume yesterday, which is almost Monday and Tuesday’s totals — combined!

Yesterday I mapped out the outer ranges for the market, but we couldn’t even push through the first layer. For the ES, that was ~4175. For the SPY, it was $414 to $415. 

S&P 500 — ES 

The retracements make the chart look busier than it is. But notice how the 78.6% retrace capped yesterday’s rally, while the 50% retrace going the other way acted as support. 

• Upside Levels: 4175-80, 4198-4206, 4242

• Downside levels: 4110, 4100, 4075-80, 4063

SPY