SPX Support, Resistance (S/R), Moving Averages and Other Important Levels for Trading the Week of 1/12/15

SPX (S&P 500) support, resistance (S/R), moving averages and other important levels are provided for trading the week of 1/12/15. Levels shown in bold are strong resistance and support. Bold and underlined levels are very strong and important S/R. The SPX all-time intraday high is 2093.55 on 12/29/14 and the SPX all-time closing high is 2090.57 on 12/29/14.

For Monday with the SPX starting at 2045, the bulls need to push above 2064 to create an upside acceleration. The bears need to push the SPX under 2038 to accelerate the downside. A move through 2039-2063 is sideways action to begin the week.

The Santa Claus rally fizzled between Christmas and New Year’s which is not a good omen is for the year. The way the first day of January goes is typically the way the first week goes which is the way the month goes and the way the year goes. The first day of the year begins negative and the first week of trading ends down. The seasonality factors are in conflict since years ending in ‘5’ are always up and the third year of a presidential cycle is typically up.

The CPC put/call above 1.20 was highlighted last Monday which indicated a rally would occur and Wednesday and Thursday was a rocket launch. OpEx is Friday, 1/16/15, so the Monday of OpEx week is typically up and a Tuesday low leads to a Wednesday high. The Dr Martin Luther King Jr Day holiday is Monday, 1/19/15 and markets will be closed so pre-holiday bullishness would be expected on Thursday and Friday. Thus, seasonality-wise, the new week ahead is setting up for the bulls with a buoyant Monday giving way to weakness in the afternoon down to a Tuesday low. Then up from a Tuesday low into a Wednesday high. Then some leaking lower Wednesday afternoon or Thursday morning. Then buoyancy on Thursday afternoon and Friday into the holiday weekend.

Seasonality factors only indicate the gentle market current flowing in the background. Of course events will always trump seasonality factors. After the holiday, on Tuesday, 1/20/15, a new moon is occurring first thing in the morning and markets are typically weak moving through the new moon. That evening, President Obama’s State of the Union speech is on tap and markets are typically in a good mood the next day since lots of promises are made to spend taxpayer money. Interestingly, terrorism is on the rise around the world and the US and UK both issue terror alerts. Symbology and dates are important to Islamist radicals and considering the 9-11 terrorist attack date in the States, reversing it, is '119'. Thus, extra vigilance may be wise on January 19th, 1/19, which is also Dr Martin Luther King Jr Day.

Looking at the big picture the strongest S/R is 2094, 2091, 2088, 2082, 2079, 2075-2076, 2067, 2061, 2054, 2040, 2038, 2024, 2018, 2011, 2002-2003, 1998 and 1985-1986.

Note the cluster of three moving averages, the 2046 support and Monday’s starting number all at the 2045-2047 S/R level. The SPX will have to make a bounce or die decision out of the starting gate to begin the new week. Bulls win above 2047. Bears win below 2045. If the bulls win the initial fight and move higher, 2054 will be targeted then the starting month and year number at 2059. If the bears win dropping under 2045, price will drop to 2040 quickly then test 2038 support for an important bounce or die decision. If 2038 fails, price will be at 2032 in a heartbeat. The moving average cluster at 2045-2047 is critical and very simply bulls win above and bears win below.

2094 (12/29/14 All-Time Intraday High: 2093.55)

2093

2091 (12/29/14 All-Time Closing High: 2090.57)

2089

2088

2086

2082

2080

2079 (12/5/14 Intraday High: 2079.47)

2076 (11/28/14 Intraday High: 2075.76)

2075 (12/5/14 Closing High: 2075.37)

2074

2073 (11/26/14 Closing High: 2072.83)

2072 (1/2/15 Intraday High for 2015: 2072.36)

2071 (11/21/14 Intraday High: 2071.46)

2069

2067

2065

2064.43 Previous Week’s High

2064.43 Friday HOD

2062 (1/8/15 Closing High for 2015: 2062.14)

2061

2060

2058.90 January Begins Here

2058.90 Trading for 2015 Begins Here

2058

2057

2056 (11/18/14 Intraday High: 2056.08)

2054

2052

2046.83 (200 EMA on 60-Minute Chart a Keystone Market Turn Signal)

2046.01 (20-day MA)

2046 (11/13/14 Intraday High: 2046.18)

2045.00 (50-day MA)

2044.81 Friday Close – Monday Starts Here

2041

2040

2039

2038

2038.33 Friday LOD

2035

2034

2032

2030

2024

2019 (9/19/14 Intraday High: 2019.26)

2018

2016

2014

2013.81 (20-week MA)

2012

2011 (9/18/14 Closing High: 2011.36) (9/4/14 Intraday High: 2011.17)

2009

2007 (9/5/14 Closing High: 2007.71)

2006.17 (100-day MA)

2005 (8/26/14 Intraday High: 2005.04)

2004

2003 (8/29/14 Closing High: 2003.37) (1/6/15 Closing Low for 2015: 2002.61)

2002

2001

1999

1998

1997

1995

1993

1992.44 Previous Week’s Low

1992 (1/6/15 Intraday Low for 2015: 1992.44)

1991 (7/24/14 Intraday Top: 1991.39)

1989.95 (150-day MA; the Slope is a Keystone Cyclical Signal)

1988 (7/24/14 Closing High: 1987.98)

1986.34 (10-month MA; a major market warning signal)

1986 (7/3/14 Intraday Top: 1985.59)

1985 (7/3/14 Closing High: 1985.44)

1983

1982

1979

1978

1976

1973

1970

1968 (6/24/14 Intraday Top: 1968.17)

1966.27 (12-month MA; a Keystone Cyclical Signal) (the cliff)

1965

1964

1963 (6/20/14 Closing High: 1962.87)

1962.86 (200-day MA)

1962

1961

1960

1958

1956 (6/9/14 Intraday Top: 1955.55)

1951 (6/9/14 Closing High: 1951.27)

1949

1947

1944.47 (50-week MA)

1942

1940

1937

1936

1931