Waiting on the Jobs Report

By Paul Cherney The Nasdaq has resistance at 1287-1298.52. The next resistance is at 1315-1350, with a focus at 1326-1339.

The S&P 500 managed to finish Thursday's session inside the band of support in the 887-878 area. The index has resistance at 897-934. There is a focus of resistance at 895-909.

Judging by the reaction to the content of the economic reports we have seen today and yesterday, a bad July employment report on Friday has real potential to drive markets decidedly lower.

Prints below Nasdaq 1247 on Friday will increase odds that any rebound will be short-lived and I would expect a retest of the 1212-1192 area within days.

Immediate support for the S&P 500 looks strong in the 853-835 area, but a print below 826 on Friday will increase the odds for a drop to print 800-775. Cherney is chief market analyst for Standard & Poor's