Tomorrow could be a nail biting session for those hoping to see the market post a gain in 2015. The S&P 500 closed at 2,063.36 today. That is only about four points above breakeven for the year. At the moment the S&P 500 is up less than +0.2% for 2015. The plunge this afternoon doesn't bode well for tomorrow morning.
Normally the seasonal Santa Claus rally from December 24th through the first couple of trading days of January delivers a +1.4% gain in the S&P 500. Our Santa rally may have come early. The S&P 500 rallied +3.6% from its December 18th low of 2,005 into yesterday's close at 2,078.
Technically today's session has generated an "inside day" for the S&P 500. All of today's trading too place inside yesterday's trading range. That normally suggest investor indecision.
Tomorrow is the last trading day of the year and volume will likely be very low. The month of December has seen some volatile moves in the market and the next few days could follow suit.
No new trades tonight.
There will be no newsletter tomorrow night (New Year's Eve). We will be back this weekend with our normal schedule.
Keep your eyes on the 2,059 mark. The S&P 500 needs to close above this level to eke out a "gain" for the year. At this point calling it a gain is being too generous.
Have a safe and happy New Year!