SPX 60-Minute Chart with 200 EMA Cross Inverted H&S Pattern

The bulls keep pushing higher. Even though it is a holiday-shortened week with lower volume, price rules and it is moving up. Keystone's 60-Minute with 200 EMA Cross Indicator shows price now only three points from a test of this important moving average.  Note the prior back tests early November where the bears held the resistance which led to weak broad markets moving forward, and continues signal bearishness ahead.  However, that story changes if price moves up thru the 200 EMA now at 1402.24. This would be a large nail in the bear coffin and the bulls will travel far higher perhaps into the 1420's.

An inverted H&S is in play highlighted the other day with a head at 1349 and neck line at the critical 1391 level.  Today price broke up thru so a 1433 target for this pattern must be considered.  The indicators are negatively diverged except for the RSI so perhaps price will drift lower bu tthe long and strong RSI will want to see higher highs than the current HOD at 1398.59.  Watch the 200 EMA, if price moves up and over and stays there, the bulls will rule the markets moving forward. Bears must hold the 200 EMA, otherwise they will experience pain moving forward.  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.

Note Added 11/23/12 at 1:15 PM:  The SPX moved above the 200 EMA today and closed well above at 1409. This signals that the bulls are favored moving forward for the hours, days and weeks ahead.  As always, any cross needs a day or two to confirm.  The bears had better muster up all their strength this weekend and come to play on Monday, forcing the SPX back under the 200 EMA to reverse this major change today, otherwise, the SPX will move towards 1425 and higher.