SPX S&P 500 60-Minute Chart 200 EMA Cross H&S

The 60-minute chart is useful for VST (very short term) trading. The 200 EMA cross is a useful signal for the hours and days ahead. The SPX is above the 200 EMA at 2063 fore casting higher prices for the hours and days ahead. Note, however, that price failed at the 200 EMA last Friday but recovered with the rally into the closing bell. This drama will likely continue early this week. Monitor the 2062-2063 pivot closely as it will tell you a lot about market direction ahead. Bulls win big above 2063. Bears win big under 2062.

The red lines show a head and shoulders (H&S) pattern. The head is 2111, the top for this year thus far, and we will call the neckline at 2079 since this is strong price support (reference the SPX S/R missive). The rupture at 2079 opens the door to the strong 2046-2047 support. Price bounced due to the positive divergence shown by the green lines but the MACD line and money flow had continued to show some weakness after the low in price printed which hints that price may have to come back down which may target that H&S level at 2046-2047. The year began at 2044 so price may want to back kiss this level.

Keep things simple. Watch 2062-2063 like a hawk. 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.