Bears Return but Bulls Hold Support

​U.S. markets opened lower on Wednesday while trading in tight ranges throughout the session as Wall Street prepared for the latest Fed minutes while digesting ongoing trade rhetoric. The major indexes made an attempt towards positive territory after the Fed said it would remain patient when evaluating rate moves but it wasn’t enough to avoid a lower close.

The Russell 2000 dropped 0.9% after testing an intraday low of 1,528. Near-term support at 1,535-1,520 was split on the close below the latter with risk towards 1,500 on a move below the latter.

The Nasdaq gave back 0.5% following the intraday backtest to 7,738. Current and upper support at 7,750-7,700 was breached but held with weakness towards 7,650-7,600 on a move back below the latter.

The Dow declined 0.4% after trading to an intraday low of 25,755. Prior and upper support at 25,750-25,500 held with risk towards 25,250-25,000 on a close below the latter and the 200-day moving average.

The S&P 500 was down 0.3% with the late day low reaching 2,851. Crucial and major support at 2,850 held with downside potential towards 2,825-2,800 on a close below this level.

Utilities led sector strength after rising 0.8%. Healthcare was up 0.6% while Real Estate and Consumer Staples gained 0.5%.

Energy paced sector laggards after sinking 1.6%. Consumer Discretionary tanked 1% and Industrials and Materials were down 0.8% and 0.7%, respectively.

ANALYST UPGRADES/DOWNGRADES

​​Flir Systems (FLIR) upgraded to Outperform from In-Line at Imperial Capital
Legg Mason (LM) upgraded to In Line from Underperform at Evercore ISI
Redfin (RDFN) upgraded to Neutral from Underperform at DA Davidson

Activision Blizzard (ATVIWealth Strength IndexATVI is Extremely Flat and trending Down) downgraded to Equal Weight from Overweight at Stephens
Expedia (EXPEWealth Strength IndexEXPE is Moderately Flat and trending Down) downgraded to Hold from Buy at Argus
Mallinckrodt (MNK) downgraded to Hold from Buy at Jefferies

EARNINGS 
Before the open (EST):
​Best Buy (BBY), Brady (BRC), Hormel Foods (HRL), Medtronic (MDT), Pointer Telocation (PNTR), RBC Bearings (ROLL), Sina (SINA), TD Bank Group (TD), Toro (TTC), Viomi Technology (VIOT), Weibo (WB)

After the close(EST):
​Autodesk (ADSKWealth Strength IndexADSK is Moderately Down and trending Down), Deckers Brands (DECK), Hewlett Packard Enterprises (HPE), HP (HPQ), Intuit (INTUWealth Strength IndexINTU is Moderately Up and trending Up), NextGen Healthcare (NXGN), Ross Stores (ROSTWealth Strength IndexROST is Extremely Flat and trending Down), Splunk (SPLK), ViaSat (VSAT)

UPCOMING ECONOMIC NEWS 
Thursday’s economic reports (EST): 
Jobless Claims – 8:30am
PMI Composite Flash – 9:45am
New Home Sales – 10:00am
Kansas City Fed Manufacturing Index – 11:00am

METALS / OIL
Gold closed at $1,274.20 an ounce, up $1.00
Silver settled at $14.45 an ounce, up $0.04
Copper finished at $2.67 a pound, down $0.04
Crude Oil was at $61.30 a barrel, down $1.83
Bitcoin Investment Trust (GBTC) ended at $10.17 down $0.23

  I hope this helps you prepare for the trading day. Make it a great one!

   Todd Mitchell