SPX S&P 500 2-Hour Chart

Here is the S&P 500 2-hour chart that we were watching last week waiting for the near-term top. The red bar shows price printing a matching or higher high, and, if you follow that thin line downwards, you can see the RSI, MACD line, histogram, stochastics and money flow all negatively diverged, so the top was in. And price falls. The MACD line remains weak and bleak wanting to see some lower lows but the RSI is resistant to moving lower which provides the lift in prices filling the gap.

S&P futures are up +5 about 40 minutes before the opening bell. VIX is at 9.80. The Keybot the Quant algorithm is tracking VIX 10.14 as a key level. Bulls will continue winning below VIX 10.14 but bears will win above.

The SPX came down and barely tapped on the middle band, the 20 MA, now at 2741 and rising. That is a cheesy touch so the door is still open for price to come down and properly kiss the 20.

The volume candles show strong selling volume and funds are yanked from the stock market on the top-ticks. The chart is not hinting at much right now for the path ahead. The presumption would be sideways. Use the VIX 10.14 as a stock market rudder between where the bulls win below and bears win above. 

The SPX daily chart is set up with negative divergence except for the MACD line that wants one more high so that high may occur today of in the couple days or so ahead. That high in the S&P 500 should mark the top in the daily time frame. The VIX is at 9.87. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.