After a volatile session yesterday, the S&P this morning is trading with a negative tone due to many uncertainties.   These uncertainties include Hurricane Irma, which is forecasted to move over South Florida this weekend. Additionally, traders are focusing heavily on any new missile launches tomorrow from the North Korean regime. Tomorrow marks a holiday in North Korea, and the regime often shoots missiles on days that they recognize as holidays. Another very important uncertainty that is making the stock market nervous is that the 10-year yield is approaching the all-important 2% yield. 10-year traders are viewing this all important level as a key gauge on how the economy is doing. When yields go lower, traders view the economy as losing momentum and often buy treasuries for safety against falling stock prices. Technically, the 50-day moving average in the E-mini S&P lies at 2053. If we should happen to close below that level, that might change near-term prospects on the direction of the S&P futures. Looking at Friday morning through mid-day, I would recommend traders continue to watch yields and any rhetoric that might come out about North Korea for near term direction.   

Sep ’17 Emini S&P Daily Chart