Bad is the new good, again?

S&P 500 continued smoothly south Tuesday, and two little rips were easily overpowered – today the bears have a much rougher ride even though the drivers haven‘t changed since FOMC. Also, Nasdaq hadn‘t broken below the Sep 27 lows today, while S&P 500 did – the resulting question being whether that‘s a bullish divergence or not – odds are that it‘s not, and not only because of junk bonds longer-term performance. Is there ES outperformance today? Another fitting question that would have been.

With non-farm employment change beneath expectations, the daily balance is leaving the buyers with initiative still, for now. Bearish clues though had been there, and overpowered bulls.

Today's article is exceptionally open in full - inspired by yesterday's announcement before I evaluate.

Let‘s move right into the charts – today‘s full scale article contains 2 of them.

S&P 500 and Nasdaq outlook

4,260 held premarket, and it‘s rather the high 4,270s or even 4,288 allowing for a modest overshoot, that must hold to leave the initiative medium-term still with the bears. 4,307 with hawkish Fed statements in fresh memory, are though a bridge too, too far for today. Returning below 4,268 is a prime bearish objective on a closing basis – only with rising yields and USD that‘s viable though.

Crude Oil

Crude oil $88.50 would not only be broken to the downside today, but so would be yesterday‘s intraday lows. This premium Telegram channel call made hours ago, is being fulfilled as we speak - $86 is next key support.

Precious metals are slowly bottoming here, and today‘s disappointing job market data is a boost for gold buyers. A temporary one that I view with caution – another visit to below $1,838 is still likely in the nearest days – and the same goes probably for copper retesting $3.55 again.