SPX support,
resistance (S/R), moving averages and other important levels are provided for
trading the week of 8/12/13. Last week, the SPX did not move above the prior week's highs at 1710, nor did price drop under the prior week's lows at 1681. Thus, the previous week's numbers carry clout for the new week, and weeks, ahead. Bulls win big above 1709.24 and bears win big under 1684.91. In the last couple days of trading, mainly Thursday and early Friday morning, the SPX teased 1699-1700 seven times only to be rejected each time, so there is a sturdy ceiling at the psychological 1700 right now, and a move above 1700 would strongly embolden the bulls to make a run at 1709-1710. The SPX is in a sideways range through 1685-1700 for the last three days so bulls win above 1700 and bears win under 1685.
Keystone's proprietary trading algorithm, Keybot the Quant, is short through the weekend but the markets remain a coin flip moving into the new week. The tight bands on the SPX daily chart will resolve and the ramifications are huge since a 20 to 60 handle move will likely result in a few days time. Thus, this time next week the SPX will likely be at either the 1720's and higher, or 1660's and lower. The new week ahead may perhaps be the most important trading week of the entire year since markets must decide on a direction, and if down, the highs from one-week ago may not be seen again for a very long time. Price closed at the 20-day MA at 1691.74 so pay close attention to this critical market metric. Bulls win above 1692, bears win below 1692.
For Monday, the bulls need to push up through the 1699-1700 ceiling and it is blue skies above with a run to 1707 and then 1709-1710 on tap. The bears need to push under the strong 1685-1687 support gauntlet to accelerate the downside. Markets are in serious trouble if 1685 is lost and a test down to the 200 EMA on the 60-minute chart at 1678 will occur quickly. A move through 1687-1698 is sideways action to begin the new week. The tension mounts.
Keystone's proprietary trading algorithm, Keybot the Quant, is short through the weekend but the markets remain a coin flip moving into the new week. The tight bands on the SPX daily chart will resolve and the ramifications are huge since a 20 to 60 handle move will likely result in a few days time. Thus, this time next week the SPX will likely be at either the 1720's and higher, or 1660's and lower. The new week ahead may perhaps be the most important trading week of the entire year since markets must decide on a direction, and if down, the highs from one-week ago may not be seen again for a very long time. Price closed at the 20-day MA at 1691.74 so pay close attention to this critical market metric. Bulls win above 1692, bears win below 1692.
For Monday, the bulls need to push up through the 1699-1700 ceiling and it is blue skies above with a run to 1707 and then 1709-1710 on tap. The bears need to push under the strong 1685-1687 support gauntlet to accelerate the downside. Markets are in serious trouble if 1685 is lost and a test down to the 200 EMA on the 60-minute chart at 1678 will occur quickly. A move through 1687-1698 is sideways action to begin the new week. The tension mounts.
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1710
(8/2/13 All-Time Intraday High: 1709.67)
(8/2/13 Intraday HOD for 2013: 1709.67) (8/2/13
All-Time Closing High: 1709.67) (8/2/13
Closing High for 2013: 1709.67)
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1709 (Previous
Week’s High: 1709.24)
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1708
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1707
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1706
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1701
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1699.42 Friday
HOD
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1699
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1698
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1697
·
1696
·
1695.79 (10-day
MA)
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1693
·
1692
·
1691.74 (20-day
MA)
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1691.42 Friday
Close – Monday Starts Here
·
1691
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1687 (5/22/13
Intraday High Top: 1687.18)
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1686.02 Friday LOD
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1686
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1685
(Previous Week’s Low: 1684.91)
·
1684
·
1683
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1681
·
1680
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1678
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1677.69 (200 EMA
on 60-Minute Chart a Keystone Market Turn Signal)
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1676
·
1675
·
1672
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1669 (5/21/13
Closing Top: 1669.16)
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1666
·
1661
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1659
·
1655
·
1654
·
1652.36 (50-day
MA)
·
1652
·
1651
·
1650
·
1649
·
1647
Guys,
ReplyDeleteAs a week-end thingy :) Lol ...
Just heard that Mr. Ben Bernanke went to the zoo but he slipped over one fence enclosure for bears ...
(warning : explicit image content)
http://www.youtube.com/watch?v=Dt9RJzrAs1E
he's ok now :)
GS guy and V., how serious would the drop be for this upcoming "correction" to cause the re-labeling of the cycle wave counts? How much would the market have to fall in order to consider the next big wave down the start of a Cycle Wave C that will revisit the 666 level or below?
ReplyDeleteI have one nuclear level and below it all red lights will flash for me like in a disco :D because that means we will see 545-570 in spx 500 levels and that level is .. (drums please :D ....) ...
Delete1422.38 EXACTLY, in cash level.
Why that level?
It's damn simple!
1422.38 was the peak of major 1 of Primary 3(1074.77 - 1422.38) and if next major 4 wave of P3 BREAKS the peak of major 1 of P3, and moreover, that happening inside the Primary 3 (that will finish with Major 5 after Major 4) - assuming Primary 3 is the most powerfull bullish part of this bull market since Feb-march 2009 - then we are in DEEP stinky thingy! :)
That would mean that the whole bull market since 2009 is derailed.
So: watch carefully this EXACT (!) point : peak of major 1 of primary 3 of this bull market : 1422.38 is THE KEY!
V.
The 12-month MA is very important and represents a cliff edge. For the SPX, this is 1541. A failure at 1541 would likely point to the 1200-1400 range.
ReplyDeleteGuys, along with wave patterns, I also use Fibs.
DeleteSimply draw SPX last swing high to the last swing low from a daily chart. $1700.18 was tested twice...and this is a FIBBER 61.8% level. If it breaks and holds that level, then we resume to 1737. Courtesy of me, Fibbin' for 5 years now. I use weekly options to trade the SPX. BULLISH ABOVE that level, and bearish below. CAKE SIMPLE.
verifying twice 61.8% retracement level and not breaking through....doesn't that mean there's trouble brewing short-term ?!?
Deletemarket ALWAYS goes to least resistent level ...1699-1700 veryfied twice ....where do you think it will go next?
' to da moon' ? :)?
V.
Yep, look at how price kept testing the 1699-1700 on Thursday and Friday morning. If price moves up through, that would likely be in concert with the SPX daily chart tight bands resolving to the upside. Looks like markets either roll over and drop from here, or one last spurt to the 1720+ area then roll over. The former case is favored right now but things can change fast.
Delete