SPX S/R Week of 7/30/12

SPX support, resistance, moving averages and other important levels are highlighted below. The SPX price is now above all the important moving averages, even the 10-day MA, a very short term support indicator, is 25 points lower at 1360. Markets catapulted higher on the Fed and ECB central banker easing talk as well as all European leaders jawboning solidarity. The SPX jumped 60 handles in three days.

The 1389 resistance placed a ceiling on the move. This level is key for Monday trading. If the bulls punch up thru 1389 after the opening bell, watch to see if the overnight futures are green by three or more points, another upside acceleration will occur causing more bear pain. SPX 1391 is very strong resistance and if it is taken out, the 1400's are on the way.

The bears need to push down thru the support levels at 1385, then 1377, to stop the upside momo.  When price pushed up thru the strong 1366 level, that pointed the way higher, so bears need to target the 1366 as their short-term goal. Bears can reestablish market negativity under 1366 but that is nearly 20 handles lower.  A move thru 1367-1388 is sideways action for Monday's trade. If the bears push markets lower, and achieve the sub 1366 print, next focus your attention on the strong support gauntlet at 1357-1360. The bulls are running currently on the Bernanke and Draghi stimulus fuel. Since these two carnival barkers promised ponies, one pony must be delivered Wendesday afternoon (Fed) and the other pony on Thursday morning before the U.S. markets open (ECB) to justify and sustain the upside.

·        1565 (10/9/07 top)

·        1525

·        1500

·        1440 (5/19/08 Intraday HOD for 2008: 1440.24)

·        1427 (5/19/08 Closing High for 2008: 1426.63)

·        1425 (Gap Fill from 2008)

·        1424

·        1422 (4/2/12 Intraday HOD for 2012: 1422.38)

·        1419 (4/2/12 Closing High for 2012: 1419.04)

·        1417

·        1415 (5/1/12 Top 1415.32)

·        1413

·        1410

·        1406 (5/29/08 HOD)

·        1403

·        1399

·        1394

·        1391

·        1389.19 Friday HOD

·        1389

·        1388

·        1385.97 Friday Close—Start Monday Here

·        1385

·        1377

·        1374

·        1371(5/2/11 Intraday HOD for 2011: 1370.58)

·        1370

·        1366

·        1364 (4/29/11 Closing High for 2011: 1363.61)

·        1363

·        1362

·        1360.20 (10-day MA)

·        1360.05 Friday LOD

·        1359.97 (20-week MA)

·        1359.32 (100-day MA)

·        1358

·        1357.64 (20-day MA)

·        1355

·        1351

·        1349.18 (200 EMA on 60-Minute Chart)

·        1347

·        1346.67 (150-Day MA; the Slope is a Keystone Cyclical Signal)

·        1343

·        1341

·        1338

·        1337

·        1335

·        1334.60 (50-day MA)

·        1333

·        1331

·        1330.08 (10-month MA)

·        1329

·        1326

·        1324

·        1321

·        1319

·        1318

·        1317.91 (200-day MA)

·        1316

·        1314

·        1312

·        1308

·        1307

·        1305

·        1304.26 (12-month MA; a Keystone Cyclical Signal)

·        1300

·        1298

·        1296

·        1295

·        1294.04 (50-week MA)

·        1293 (10/27/11 Intraday High 1292.66)

·        1292

·        1289

·        1287

·        1286

·        1285

·        1281

·        1278

·        1277

·        1275