Market Update and Daily Timing

After chopping around much of the day, markets sold off into the close yesterday, but all indices remain in the recovery phase.  While there does not appear to be any strong buying activity, selling momentum is also weak.  The following economic reports are due out today:

8:30 AM Core CPI
8:30 AM CPI
8:30 AM Empire Manufacturing
9:00 AM Net Long-Term TIC Flows
9:15 AM Capacity Utilization
9:15 AM Industrial Production
10:30 AM Crude Inventories
2:00 PM Fed's Beige Book

Today's US CPI could be the driver for market direction today, given how yesterday's soft PPI and retail results turned out to be negative for stocks, interrupting the optimistic sentiment that had been initiated on Monday. 

China has just announced details of a plan for the electronics sector. Beijing hopes the sector will contribute to economic growth and looks to add 1.5 million jobs over the next 3 years. There has been speculation that China would announce a fresh stimulus package on top of the already Yuan 4 trillion committed in November, which would be aimed at boosting consumption.

Oil continues in its sideways trend in a wide channel from about $47 up to $53.  Gold and silver are both up this morning, but remain in a sideways trend.

 As of this writing, futures are slightly negative and the DAX is negative, indicating a negative open.    The market condition scans and the market bias indicators are both showing neutral signals indicating once again a choppy indecisive market that remains in a bottoming condition.

Index	Change	%Change	Level	Phase
TSX	-54.00	-0.58%	9231.62	Recovery
DJIA	-137.63	-1.71%	7920.18	Recovery
Nasdaq	-27.59	-1.67%	1625.72	Recovery
SP 500	-17.23	-2.01%	841.50	Recovery
Russell 2000	-14.83	-3.17%	453.22	Recovery
NYSE	-108.78	-2.01%	5301.50	Recovery

Source: Telechart

Short Term market outlook:

Bias: Scans showing a neutral bias

Energy: moderate

 Primary Trend: Remains down to sideways

Sector	Phase
Consumer Staples	Bearish
Healthcare	Bearish
Technology	Recovery
Utilities	Bearish
Energy	Bearish
Financials	Recovery
Industrials	Bearish
Materials	Recovery
Consumer Discretionary	Recovery

Source: Telechart