SPX continued to push higher, largely shrugging off FOMC. It was mostly a non reaction to the event and SPX chugged along, coming within 15 points of the expected move to the upside.

The after hours picture is slightly different, with GOOGL currently dragging things lower. This could change by the morning of course, but as of right now GOOGL is down pretty significantly while MSFT is up. However, GOOGL seems to be weighing down the market more than MSFT is able to save it. Again, things can change overnight but as of this post, it’s how things currently stand.

We have 3 straight green candles and each one has pushed higher. The swing low from Friday is over 120 points away now and SPX is just a stones throw from the upper end of the expected move. This week has been about resilience and SPX has found a way to once again rally. As we head into the last couple days of the week, and the month of October, we’ll see if SPX keeps pushing or falls back into hold habits of reversing into the weekend.

My personal take is that a reversal seems highly probable right now solely based on ES being down 30 points as I write this and GOOGL being down 10%. Things might change overnight, and dip buyers may step in, but right now things look bearish.

If there was no earnings event, I would have said tagging the expected move was likely because it came so close. For now, I am not so sure.

If SPX continues to reverse down tomorrow, then 7720 and 7705 will be the first key levels to the downside.

To the upside, the 7770-75 area is the main one to watch for. Above that, all time highs begin to come back into the equation.

A directionless market found direction so far this week, and that has been the takeaway from the first half. As mentioned above, lately it has felt like the second half of the week seems to undo what the first half did. As of right now, it seems like that trend will continue.

Can MSFT and dip buyers on GOOGL save the day tomorrow?

Good luck!