SPX Daily Chart

The bears are deflated once price moves above the 20-day MA. The move off the bottom over the last five days is impressive but note the vapor volume with Friday's volume definitely one of the lowest of the year, easily under the July 4th hoiliday. The indicators are favorable to higher prices moving forward but the picture could change quickly especially considering the bullishness occurs off a seasonally happy and low volume week.  The three moving averages are important moving forward, note how the 50-day and 200-day MA's are lining out sideways in the neighborhood of the strong 1433 resistance and 1391 support. Perhaps price may want to move sideways as the fiscal drama plays out into December.

Price hit the top rail of the downward-sloping channel so a pull back would be in order, perhaps a back kiss to the critical 20-day MA at 1394.16.  Price may use the 50-day MA as a ceiling and the 200-day MA as a floor moving into Christmas. Regardless, the move above the 50-day (uber bullish), or under the 200-day (uber bearish), will tell a lot. Price is exactly in the center of this 1426-1433 resistance and 1383-1391 support. The MACD line was never agreeable to the move up but price launched in earnest anyways. As a guide to gauge who is winning, watch 1433 (blue line), 1426.31 (50-day MA), 1413 (neon green line), 1394.16 (20-day MA), 1391 and 1383.24 (200-day MA). 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.