KEY EVENTS TO WATCH FOR:

Friday, January 18, 2019   

9:15 AM ET. December Industrial Production & Capacity Utilization

                       Industrial Production, M/M% (expected +0.2%; previous +0.6%)

                       Capacity Utilization % (expected 78.5%; previous 78.5%)

                       Capacity Utilization, Net Chg (Pts) (previous +0.4)

10:00 AM ET. January University of Michigan Survey of Consumers - preliminary data

                       Mid-Mo Sentiment (expected 96.4; previous 97.5)

                       Mid-Mo Expectations (previous 86.1)

                       Mid-Mo Current Idx (previous 115.2)

10:00 AM ET. December Regional & State Employment & Unemployment

The STOCK INDEXES http://quotes.ino.com/ex changes/?c=indexes"  

The STOCK INDEXES:The March NASDAQ 100 was higher in overnight trading as investors hung on to optimism over a report that Washington might ease trade tariffs on Beijing. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off December's low, the 50% retracement level of the October-December-decline crossing at 6787.66 is the next upside target. Closes below the 20-day moving average crossing at 6433.50 would confirm that a short-term top has been posted. First resistance is the 50% retracement level of the October-December-decline crossing at 6787.66. Second resistance is the 62% retracement level of the October-December-decline crossing at 7018.75. First support is the 20-day moving average crossing at 6433.50. Second support is the reaction low crossing at 6136.50.  

The March S&P 500 was higher overnight as it extends the rally off December's low.Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off December's low, the reaction high crossing at 2683.00 is the next upside target. Closes below the 20-day moving average crossing at 2532.09 would confirm that a short-term top has been posted.First resistance is the reaction high crossing at 2683.00. Second resistance is the 62% retracement level of the September-December-decline crossing at 2706.38. First support is the 20-day moving average crossing at 2532.09. Second support is the reaction low crossing at 2439.00.

INTEREST RATES http://quotes.ino.com/ex changes/?c=interest"

INTEREST RATES: March T-bonds was lower overnight as it extends the decline off January's high. Stochastics and the RSI remain neutral to bearish signaling that sideways to lower prices are possible near-term. If March extends the aforementioned decline, the 38% retracement level of the November-January-rally crossing at 144-00 is the next downside target. Closes above Monday's high crossing at 146.11 would confirm that a short-term low has been posted. First resistance is January's high crossing at 148-27. Second resistance is weekly resistance crossing at 152-18. First support is the 38% retracement level of the November-January rally crossing at 144-00. Second support is the 50% retracement level of the November-January rally crossing at 142.16.

March T-notes was lower overnight as it extends the decline off January's high. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If March extends the decline off January's high, the 38% retracement level of the October-January-rally crossing at 120.301 is the next downside target. Closes above Monday's high crossing at 122.090 are needed to confirm that a short-term low has been posted. First resistance is Monday's high crossing at 122.090. Second resistance is January's high crossing at 123.080. First support is the 38% retracement level of the October-January rally crossing at 120.301. Second support is the 50% retracement level of the October-January-rally crossing at 120.071.

ENERGY MARKETS? http://quotes.ino.com/ex?changes/?c=energy ""

February crude oil was higher overnight. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If February resumes the rally off December's low, the 38% retracement level of the October-December-decline crossing at 55.28 is the next upside target. Closes below the 20-day moving average crossing at 48.68 are needed to confirm that a short-term top has been posted. First resistance is the the 38% retracement level of the October-December-decline crossing at 55.28. Second resistance is the reaction high crossing at 58.36. First support is the 20-day moving average crossing at 48.68. Second support is December's low crossing at 42.36.  

February heating oil was slightly higher overnight. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If February resumes the rally off December's low, the 38% retracement level of the October-December-decline crossing at 195.02 is the next upside target. Closes below the 20-day moving average crossing at 178.95 are needed to confirm that a short-term top has been posted. First resistance is the 38% retracement level of the October-December-decline crossing at 195.02. Second resistance is the 50% retracement level of the October-December-decline crossing at 204.76. First support is the 20-day moving average crossing at 178.95. Second support is December's low crossing at 163.80. 

February unleaded gas was higher overnight. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are still possible near-term. If February extends the rally off December's low, December's high crossing at 151.77 is the next upside target. Closes below the 20-day moving average crossing at 135.72 would confirm that a short-term top has been posted. First resistance is the 25% retracement level of the October-December-decline crossing at 146.03. Second resistance is December's high crossing at 151.77. First support is the 20-day moving average crossing at 135.72. Second support is December's low crossing at 122.93.

February Henry natural gas was lower overnight. The low-range overnight trade sets the stage for a steady to lower opening when the day session begins trading. Stochastics and the RSI are turning bearish signaling that sideways to lower prices are possible near-term. Closes below Monday's gap crossing at 3.166 would temper the near-term friendly outlook. If February resumes the rally off January's low, the 50% retracement level of the November-January-decline crossing at 3.866 is the next upside target. First resistance is the 38% retracement level of the November-January-decline crossing at 3.632. Second resistance is the 50% retracement level of the November-January-decline crossing at 3.866. First support is Monday's gap crossing at 3.166. Second support is January's low crossing at 2.878.    

CURRENCIEShttp://quotes.ino.com/ex changes/?c=currencies"

CURRENCIES:The March Dollar was steady to slightly higher overnight. Stochastics and the RSI remain neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 20-day moving average crossing at 95.72 would confirm that a short-term low has been posted. If March resumes the decline off December's high, the 62% retracement level of the September-December-rally crossing at 94.54 is the next downside target. First resistance is the reaction high crossing at 96.65. Second resistance is December's high crossing at 97.19. First support is the 62% retracement level of the September-December-rally crossing at 94.54. Second support is the 75% retracement level of the September-December-rally crossing at 93.97.    

The March Euro was higher overnight as it consolidates some of the decline off January's high. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If March extends the decline off January's high, January's low crossing at 113.77 is the next downside target. Closes above Tuesday's high crossing at 115.50 are needed to confirm that a short-term low has been posted. First resistance is November's high crossing at 116.45. Second resistance is the reaction high crossing at 117.00. First support is January's low crossing at 113.77. Second support is November's low crossing at 113.53.    

The March British Pound was lower overnight as it consolidates some of the rally off January's low. The low-range overnight trade sets the stage for a steady to lower opening when the day session beings trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off January's low, the reaction high crossing at 1.3150 is the next upside target. Closes below the 20-day moving average crossing at 1.2802 would confirm that a short-term top has been posted. First resistance is Thursday's high crossing at 1.3039. Second resistance is the reaction high crossing at 1.3150. First support is January's low crossing at 1.2512. Second support is the October-2016 low crossing at 1.2384.  

The March Swiss Franc was steady to slightly higher overnight as it consolidates some of the decline off January's high. Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If March extends this month's decline, November's low crossing at 1.0018 is the next downside target. Closes above Monday's high crossing at 1.0265 would confirm that a short-term low has been posted. First resistance is the 50% retracement level of the September-November decline crossing at 1.0330. Second resistance is the 62% retracement level of the September-November decline crossing at 1.0405. First support is December's low crossing at 1.0097. Second support is November's low crossing at 1.0018. 

The March Canadian Dollar was higher overnight. Stochastics and the RSI are turning neutral to bearish signaling that a short-term top might be in or is near. Closes below the 20-day moving average crossing at 74.69 are needed to confirm that a short-term top has been posted.If March resumes the rally off December's low, December's high crossing at 76.15 is the next upside target. First resistance is last-Wednesday's high crossing at 75.99. Second resistance is December's high crossing at 76.15. First support is the 20-day moving average crossing at 74.69. Second support is December's low crossing at 73.30.

The March Japanese Yen was lower overnight as it extends the decline off January's high. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If Closes below the 20-day moving average crossing at 0.0920 would confirm that a short-term top has been posted. If March resumes the rally off November's low, the 75% retracement level of the March-November-decline crossing at 0.0957 is the next upside target. First resistance is the 62% retracement level of the March-November-decline crossing at 0.0944. Second resistance is the 75% retracement level of the March-November-decline crossing at 0.0957. First support is the 20-day moving average crossing at 0.0920. Second support is the 50-day moving average crossing at 0.0903.   

PRECIOUS METALS http://quotes.ino.com/ex changes/?c=metals"

PRECIOUS METALS: April gold was overnight as it extends the trading range of the past three-weeks. Stochastics and the RSI are neutral to bearish signaling that a short-term top might be in or is near. Closes below the reaction low crossing at 1284.60 would confirm that a short-term top has been posted. If April resumes the rally off November's low, the 62% retracement level of the January-August-decline crossing at 1320.10 is the next upside target. First resistance is the reaction high crossing at 1306.50. Second resistance is the 62% retracement level of the January-August-decline crossing at 1320.10. First support is the reaction low crossing at 1284.60. Second support is the 50-day moving average crossing at 1260.10.  

March silver was lower overnight as it extends the decline off January's high. Stochastics and the RSI are neutral to bearish signaling that a short-term top might be in or is near. Closes below the 20-day moving average crossing at 15.465 are needed to confirm that a short-term top has been posted. If March resumes the rally off November's low, the 50% retracement level of the 2017-2018-decline crossing at 16.279 is the next upside target. First resistance is the reaction high crossing at 15.955. Second resistance is the 50% retracement level of the 2017-2018-decline crossing at 16.279. First support the 20-day moving average crossing at 15.465. Second support is the 50-day moving average crossing at 14.884.  

March copper was higher overnight. The high-range trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 50-day moving average crossing at 271.47 are needed to confirm that a short-term low has been posted. If March resumes the decline off December's high, the 62% retracement level of the 2016-2018-rally crossing at 251.75 is the next downside target. First resistance is the 50-day moving average crossing at 271.47. Second resistance is the reaction high crossing at 280.35. First support is January's low crossing at 254.30. Second support is the 62% retracement level of the 2016-2018-rally crossing at 251.75.

GRAINS http://quotes.ino.com/ex changes/?c=grains

March corn was higher overnight as it extends the rebound off Tuesday's low. The high-range close sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above Tuesday's high crossing at 3.81 would temper the near-term bearish outlook. If March resumes the decline off January's high, November's low crossing at 3.67 1/4 is the next downside target. First resistance is January's high crossing at 3.84 1/2. Second resistance is December's high crossing at 3.87 3/4. First support is Tuesday's low crossing at 3.71. Second support is Nov.'s low crossing at 3.67 1/4.  

March wheat was higher overnight while extending the September-January trading range. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term. If March resumes the rally off January's low, December's high crossing at 5.38 1/2 is the next upside target. If March resumes the decline off December's high, psychological support crossing at 5.00 is the next downside target. First resistance is December's high crossing at 5.38 1/2. Second resistance is the 38% retracement level of the August-November-decline crossing at 5.50 1/2. First support is January's low crossing at 5.01 1/4. Second support is psychological support crossing at 5.00.       

March Kansas City Wheat closed up 8 1/2-cents at 5.04. 

March Kansas City wheat closed higher on Thursday. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above last-Wednesday's high crossing at 5.05 1/2 are needed to confirm that a short-term low has been posted while renewing the rally off December's low. If March resumes the decline off December's high, November's low crossing at 4.82 1/4 is the next downside target. First resistance is December's high crossing at 5.24 1/2. Second resistance is November's high crossing at 5.33 3/4. First support is December's low crossing at 4.87 1/4. Second support is November's low crossing at 4.82 1/4.  

March Minneapolis wheat was higher overnight. The high-range close sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 50-day moving average crossing at 5.71 1/2 would renew the rally off December's low. If March resumes the decline off December's high, weekly support crossing at 5.23 3/4 is the next downside target. First resistance is the 50-day moving average crossing at 5.71 1/2. Second resistance is December's high crossing at 5.89 1/2. First support is December's low crossing at 5.44 1/2. Second support is weekly support crossing at 5.23 3/4. 

SOYBEAN COMPLEX? http://quotes.ino.com/ex?changes/?c=grains "

March soybeans was higher on overnight as it extends Thursday's rebound. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 10-day moving average crossing at 9.09 3/4 would temper the near-term bearish outlook. If March extends the decline off January's high, December's low crossing at 8.80 1/2 is the next downside target. First resistance is the 50% retracement level of the May-September-decline crossing at 9.46 1/2. Second resistance is the 62% retracement level of the May-September-decline crossing at 9.72 1/4. First support is December's low crossing at 8.80 1/2. Second support is the reaction low crossing at 8.71 1/4.

March soybean meal was higher overnight due to short covering. The high-range close sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above the 10-day moving average crossing at 315.60 would temper the near-term bearish outlook. If March resumes the decline off January's high, December's low crossing at 307.10 is the next downside target. First resistance is January's high crossing at 323.60. Second resistance is October's high crossing at 327.40. First support is December's low crossing at 307.10. Second support is September's low crossing at 303.40. 

March soybean oil was higher overnight as it has renewed the rally off December's low. The high-range overnight trade sets the stage for a steady to higher opening when the day session begins trading. Stochastics and the RSI are neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends the rally off December's low, the reaction high crossing at 29.09 is the next upside target. Closes below last-Thursday's low crossing at 28.08 would confirm that a short-term top has been posted. First resistance is the reaction high crossing at 29.09. Second resistance is December's high crossing at 29.50. First support is last-Thursday's low crossing at 28.08. Second support is December's low crossing at 27.58.

LIVESTOCKhttp://quotes.ino.com/exchanges/?c=livestock 

February hogs closed up $0.80 at $60.85. 

February hogs closed higher on Thursday as it consolidated some of the decline off November's high. The high-range close sets the stage for a steady to higher opening when Friday's night session begins trading. Stochastics and the RSI are neutral to bearish signaling that sideways to lower prices are possible near-term. If February extends the decline off November's high, October's low crossing at 58.78 is the next downside target. Multiple closes above the 50-day moving average crossing at 63.65 are needed to confirm that a short-term low has been posted. First resistance is the 50-day moving average crossing at 63.65. Second resistance is the reaction high crossing at 66.80. First support is today's low crossing at 59.12. Second support is October's low crossing at 58.78.    

February cattle closed down $0.73 at 127.10. 

February cattle closed lower on Thursday as it consolidated some of the rally off 2018's low. The mid-range close sets the stage for a steady opening when Friday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If February extends the rally off November's low, weekly resistance crossing at 134.55 is the next upside target. Closes below the 20-day moving average crossing at 124.20 would confirm that a short-term top has been posted. First resistance is Wednesday's high crossing at 127.95. Second resistance is weekly resistance crossing at 134.55. First support is the 20-day moving average crossing at 124.20. Second support is the 50-day moving average crossing at 122.06.   

March Feeder cattle closed down $1.78 at $142.92. 

March Feeder cattle closed lower on Thursday. The low-range close sets the stage for a steady to lower opening when Friday's session begins trading. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. If March extends this month's decline, December's low crossing at 140.35 is the next downside target. Closes above the 20-day moving average crossing at 145.05 would temper the near-term bearish outlook. First resistance is last-Monday's high crossing at 147.58. Second resistance is November's high crossing at 149.23. First support is January's low crossing at 142.00. Second support is December's low crossing at 140.35.  

FOOD & FIBERhttp://quotes.ino.com/ex changes/?c=food 

March coffee closed higher on Thursday. The mid-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI are turning neutral to bullish signaling that a short-term low might be in or is near. Closes above the 50-day moving average crossing at 10.71 would confirm that a short-term low has been posted. If March resumes the decline off January's high, September's low crossing at 9.85 is the next downside target.              

March cocoa closed higher on Thursday. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. If March renews the rally off December's low, July's high crossing at 25.96 is the next upside target. Closes below the 50-day moving average crossing at 22.65 are needed to confirm that a short-term top has been posted.      

March sugar closed lower on Thursday as it consolidated some of the rally off January's low. The low-range close set the stage for a steady to lower opening on Friday. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If March extends this month's rally, the reaction high crossing at 13.54 is the next upside target. Closes below the 20-day moving average crossing at 12.50 would confirm that a short-term top has been posted.

March cotton closed higher on Thursday as it renewed the rally off January's low. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI are neutral to bullish signaling that a low might be in or is near. If March extends today's rally, the 50-day moving average crossing at 76.57 is the next upside target. If March resumes the decline off December's high, the 75% retracement level of the 2016-2018-rally crossing at 74.04 is the next downside target.