SPX S/R 1/6/12

The list below shows key support and resistance levels ahead of the Friday session. Closing above the 12-month MA today is a major bullish development. Tomorrow we see if it holds. The 1285 is strong resistance but would likely give way if the SPX moves above 1283 tomorrow.  The 1287 is very strong resistance and will put up a strong fight.

The futures markets will react violently at 8:30 AM EST tomorrow morning when the monthly Jobs Report is released. The jobs circus will set the tone for Friday's trading. If the markets are sour to start the day, watch the 10-month and 50-week MA levels on the way down. A loss of the 1265 level will usher in accelerated downward pressure and stronger selling. Sturdy support exists at the starting year number at 1258 which is also the 200-day MA.

·        1295

·        1293

·        1292

·        1289

·        1287

·        1286

·        1285

·        Thursday HOD 1283.05

·        1282

·        Thursday Close 1281.06

·        12-month MA 1280.33 (One of Keystone’s Major Secular Signals)

·        1280

·        1278

·        1277

·        10-month MA 1271.10

·        1275

·        1272 (LT S/R)

·        1270

·        1268

·        50-week MA 1267.55

·        1267

·        Thursday LOD 1265.26

·        1265

·        1263

·        1262

·        1261

·        1260

·        200-day MA 1258.64

·        1258 (1257.64 start of 2011; 1257.60 start of 2012)

·        1257 (3/16/11)

·        1255

·        1253

·        1252 (9/14/08 pre-LEH bk)

·        1249 (LOD 3/16/11; failure at this level 8/4/11)

·        20-day MA 1247.04

·        1247

·        1244

·        1242

·        1240

·        50-day MA 1239.88

·        1238

·        1235 (12/15/10; HOD 12/7/10 large volume)

·        1233 (LOD 12/16/10)

·        1229