NYA NYSE Composite Index Weekly Chart; Stock Market Battles NYA 40-Week MA at 16697

In the final minutes of the Thursday, 1/20/22, trading day, NYA failed at the 40-week MA at 16697. The NYA is at 16664, appropriately displaying the infamous '666', now 33 points below the critical bull/bear line in the sand. The NYA 40-week is programmed into many algorithms including Keybot the Quant, Keystone's proprietary trading robot, and is the reason that stocks fell apart late day and remain soggy this morning. S&P futures are off -25, no, check that, -34 now.

It's not rocket science, and Keystone know rocket science. Bulls win and a recovery rally begins when NYA crosses back above the 40-week MA at 16697. The stock market will fall apart and collapse if NYA remains below 16697.

If the SPX drops to 4342 (now at 4483), the stock market will likely crash. SPX 4433 is an early warning signal; think of it as a flashing yellow light. The SPX begins Friday, 1/21/22, at 4483. The flashing light and sirens are 50 points below with futures down -34. Keep an eye on it. Plan accordingly. 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 10:48 AM EST: SPX is at 4460 with a LOD at 4420 rupturing the warning level at 4433 at 10:20 AM EST but then recovers. Watch for another potential test of 4430-4433 and if it fails, there will be carnage. The 200-day MA is also at this range at 4430 so it is not surprising that price pops on the first test of the 4430-4433 support.  If the SPX floats higher, the bulls will set their sights on NYA 16697-16700 to signal a relief rally. Bears win at SPX 4430-4433 where there will be blood. Bulls win at NYA 16700 where a new upside stock market party will begin. Everything between is noise. SPX recovers to 4472 and NYA is at 16628 late morning on the East Coast. One side or the other will flinch.

Note Added 12:45 PM EST: The machines take the SPX south to test 4430-4433 and a bounce occurs. Thus, the machines march higher to test the NYA resistance at 16697-16700 but is spanked back down from 16683. The machines are testing each limit and still deciding. The SPX drifts lower to 4446 right now perhaps headed for another test of the 4430-4433 support. It is sitting there on a silver platter if the bears want it. Do you want it bears?

Note Added 12:52 PM EST: SPX is at 4438. Okay, bears, whatchu got?

Note Added 1:36 PM EST: SPX is using 4438 as a pivot. Price drops to 4430 and bounces again. She's at 4437 now......... you have it in your hands bears. Do you want it? If so, take it.

Note Added 1:39 PM EST: SPX pops to 4448 with the bulls slapping the bears in the face and defending the 4430-4433 support with all their might. It is for all the marbles today.

Note Added 1:45 PM EST: SPX rebounds to 4450 now at 4446. The bears are regrouping. There is possie d on the SPX 30-minute but the MACD's remain weak and bleak on the 60-minute and 2-hour charts. Thus, the bears will probably make another run lower at 4429-4430 before the closing bell. It will be interesting. We are at the fourth to fifth segment pivot so the robots will kick-in execution programs between 1:45 PM EST and 2:00 PM EST that may send stocks into a committed direction. The sixth trading segment of the day begins at 2:55 PM EST so look for another potential pivot in the market (up or down) between 2:50 and 3:00 PM EST. SPX is at 4449. NYA is down at 16615.

Note Added 3:32 PM EST: Lead Belly sings, "Goodnight Irene, Irene Goodnight." SPX fails at 4429-4430 and plummets to 4395 losing the 4.4K level. Whoosh. SPX is at 4405 with about one-half hour remaining in the day's trade.

Note Added 3:38 PM EST: The 2 key SPX levels dictating market direction are 4427 and 4335. S&P 500 price is at 4406. If the SPX moves above 4427, bulls will be staging a recovery. Any close under 4427 is trouble. If SPX 4335 fails, the United States stock market will likely crash. That would be fun.

Note Added 3:43 PM EST: The bulls are trying to get her back above 4427 (4427-4430) before the closing bell. SPX is at 4424.

Note Added 3:46 PM EST: Whoosh. Don't you like whoosh's? Whoosh's are fun. The SPX flushes from 4426 to 4409. The battle rages on for another 15 minutes.

Note Added 4:01 PM EST: Whoosh. SPX falls out of bed into the bell closing at 4398. Thus, bulls are in bad shape because they at least needed to push the S&P 500 above 4427, but failed. It is also a negative that the psychological 4.4K support is lost, that now becomes resistance. It is a negative development that the 200-day MA support at 4429 failed which now becomes overhead resistance. The bull/bear lines in the sand are SPX 4427 and 4335. The S&P 500 begins Monday morning at 9:30 AM EST at 4398 in trouble. Bulls win and a recovery rally begins above SPX 4427. The stock market will flush lower and likely go into a full crash event if SPX 4335 fails. Everything between 4335 and 4427 is meaningless noise. Which side will win on Monday?.