Yesterday, stocks fell due to concerns that the federal budget deal (yet to be approved) will increase the chances of the Fed to start tapering next week
Today, the market will focus on unemployment claims data which might further support the idea of tapering & other economic news if the economy can handle a small taper
Although stock futures showed resistance @ 1782, 1783 & stock continue to be weak, even dropping to 1776 earlier,
watch S&P 500/S&P Futures @ 1780 for a possible stronger rebound today if it stays above & goes higher, sell if it fails & drops further
Trading during news would be highly risky
S&P 500 dropped too much in 1 day (20points) & is too low
S&P 500 also rebounded strongly the last 2 times it dropped to 1780
Also watch S&P 500 @ 1800 for resistance if it reaches 1800 & drops as it would be too high for today
S&P Futures should stay around 1780 as turning point until economic news
Economic news might be the deciding factor if stocks go up or down for the rest of the day
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