While the market did try to push lower, it did not get below the 1029 level (which as mentioned in last weeks post) would have indicated a strong bearish bias if the level was broken. That level was brushed by the market but quickly retraced higher. We have moved up and closed right at the resistance level of 1070-1073. This is a pivotal level. If we can move above and hold above it for a day, this would indicate another swing higher.
On a move higher, resistance/targets are 1077 and 1085. Moves beyond that will challenge former swing highs at 1091, 1095, and ultimately 1098-1100.
The average range for a week on the S&P right now is about 40 points. This means if the market does collect steam as it moves above 1073 it is well within the grasp of the market to reach the 1100 mark once again. Targets/resistance beyond is 1105 then 1111-1113.
There are still warning signs this market is going to correct, thus we need to be aware that a move below 1065 indicates the possibility of a pullback. A pull below 1065 indicates a move to 1062, with a further move down testing 1060-1058. The bias shifts downward if 1058 is penetrated. This would signal a move to 1047-1045. Further target/support would be at 1036 and then once again 1029.
CFDs trading analysis by CFDsPros - Written by Cory Mitchell, CMT
On a move higher, resistance/targets are 1077 and 1085. Moves beyond that will challenge former swing highs at 1091, 1095, and ultimately 1098-1100.
The average range for a week on the S&P right now is about 40 points. This means if the market does collect steam as it moves above 1073 it is well within the grasp of the market to reach the 1100 mark once again. Targets/resistance beyond is 1105 then 1111-1113.
There are still warning signs this market is going to correct, thus we need to be aware that a move below 1065 indicates the possibility of a pullback. A pull below 1065 indicates a move to 1062, with a further move down testing 1060-1058. The bias shifts downward if 1058 is penetrated. This would signal a move to 1047-1045. Further target/support would be at 1036 and then once again 1029.
CFDs trading analysis by CFDsPros - Written by Cory Mitchell, CMT