Muted Trade For The S&P 500

The tug of war on Wall Street continues, with the bulls and bears fighting to a mid-session stalemate. For the first 120 minutes since the cash open, the U.S. indices are largely flat. Both the DJIA and S&P 500 are hovering around even, exhibiting the whipsaw trading conditions we have seen a lot of in recent weeks.

If you are trading quarterly futures contracts, then be aware that many of these issues come off of the board today. As a result, volumes will become diluted and price action may reflect the thin markets.

For the December E-mini S&P 500, it has been an active quarter. Let’s take one last look at the daily technicals before turning the page to the March issue.

December S&P 500 Futures

At press time, the December E-mini S&P 500 futures contract is dominating liquidity over March by a 3/1 margin. Be on the lookout for this to shift as the closing bell approaches.

Here are the levels to watch for the near future:

• Resistance(1): 38% Current Wave, 2671.25
• Support(1): Spike Low, 2583.00

Overview: At press time, the December E-mini S&P 500 is in heavy rotation ahead of rollover. While this market is likely to open up from current levels, there is very little reason to believe a directional move will occur later today. For the time being, a rotational trading plan or waiting until the Friday session may be the best courses of action.