On Thursday, the SPX closed at 4319.94 or +22.44 points and +0.52% higher on a mostly green intraday sector profile with tech relatively weak. NDX was flat again. The disparity between the two indices contributed to mildly positive market-wide internals, with NYSE A-D lines moving sideways at about +1000, NYSE breadth ratio finishing at +2.06:1 and NASD at +1.23:1. and NYSE intraday tick moderately positive and climbing for much of the day.
ES futures left a profile with two distribution areas, the major one is the thick area with a volume and time-based point of control about 4301. This looks like exuberance and the top distribution is a range extension that took place after the initial balance (first hour) played out within the overnight session around the 4300 area. Maybe most people were comfortable at 4300 and then some participants got wild and crazy. Implied volatility drifted down for the past two sessions, but is not imploding, even if the shorts have been losing their religion.
There was more DXY strength, and US treasuries were kind of volatile for the past two sessions, with most of the range settling down and adding +2 bps through most of the curve today. Gold for August was supported during the overseas Globex session and settled about 1777 during the NY session, back up in the lower half of the balance area that runs from 1768 to 1791. Now we see if we can go back to the top of that balance, but tomorrow's data could take precedent over that natural tendency. We are seeing more of that inverse relationship to BTC futures, which were weaker again for the past two sessions. Focus will now be on the US monthly employment report at 08:30 US EDT or 22:30 AET for you party animals.
