SPX S&P 500 Support, Resistance (S/R), Moving Averages and Other Important Levels for Trading the Week of 1/22/19

SPX (S&P 500) support, resistance (S/R), moving averages and other important levels are provided for trading the week of 1/22/19. US markets are closed on Monday, 1/21/19, in honor of Martin Luther King Jr Day. Levels shown in bold are strong resistance and support. Bold and underlined levels are very strong and important S/R.

The all-time record high print for the S&P 500 is 2940.91 on 9/24/18 (four months ago) and the all-time closing high is 2930.75 on 9/20/18. The SPX all-time record intraday low is 666.79 (the infamous 666) on 3/6/09 (one decade ago) and all-time closing low is 676.53 on 3/9/09.

For 2019, the intraday high is 2675.47 on 1/18/19 and closing high is 2670.71 on 1/18/19. For 2019, the intraday low is 2443.96 on 1/3/19 and the closing low for this year thus far is at 2447.89 on 1/3/19.

The stock market retreats from the September record highs due to the negative divergence smack down on the monthly and weekly charts as Keystone explained in real time.

The full moon peaks for the month on Monday, 1/21/19, at 12:16 AM EST (midnight Sunday evening). There is also an eclipse. Stocks are typically bullish moving through the full moon each month although much of that bullish joy may have been priced in last week. Global earthquake, volcano and tsunami activity will likely increase in the days ahead since the Earth and Moon are at a gravitational inflection point impacting the plates.

The eclipse is interesting. Keystone’s Eclipse Indicator identifies the 2/21/19 period give or take 2 weeks, so 2/7/19 through 3/1/19, as having potential as a significant stock market top and pull back. The prior window the eclipse indicator targeted was 12/7/18 through 1/4/19 which hit in spades with stocks tumbling lower. There are two eclipses on tap in July and the next potential topping signal and selloff window for the eclipse indicator after February is 5/26/19 through 6/23/19 in June.

Stocks are typically bullish into a three-day holiday weekend and a rally occurs last Thursday and Friday. So the full moon may still provide a smidgeon of bullishness but the eclipse portends a market top very near in this January window.

The bears have bludgeoned the bulls since early October. The SPX has lost the 12-month MA at 2726 so the stock market is in a cyclical (weeks and months ahead) bear market pattern. The NYA is below the 40-week MA confirming the cyclical bear market. The slope of the SPX 150-day MA is negative confirming the cyclical bear market. The SPX 10 and 40-week MA’s are sloping negatively and a negative cross has occurred confirming the cyclical bear market. The UPS 20/50-week MA negative cross occurs confirming a cyclical bear market.

If you are bullish on the stock market for this year, you need the SPX to recover the 12-month MA at 2726 and for the 150-day MA to slope positively (higher) as soon as possible. These two parameters will tell you that the stock market is truly recovering with strength. However, as long as the S&P 500 remains below the 12-month MA at 2726 and the 150-day MA keeps sloping downwards, the stock market bulls are toast for the weeks and months ahead.

The SPX begins the week on Tuesday, 1/22/19, at 2671 perched on the very strong 2670 support/resistance. Price will pivot from this level. The bears need to push below the 20-month MA support at 2666. The S&P 500 battled to and fro at 2666 on Friday because of this 20-month MA. It would be a bearish signal if the SPX closes Tuesday below 2666 since the bulls would not be able to hold the 20-month.

Here is some red meat for the bears. The uber low CPC and CPCE put/calls and elevated NYMO say a near-term top is at hand. It may occur any hour any day forward. The drop will likely be from 40 to 150 SPX handles, maybe more. The SPX 2-hour chart is set up with negative divergence so the pullback should start early in the week ahead.

The bears need to take out the 2666 as mentioned and then price will immediately seek 2659. If that fails, the cluster of support at 2648-2652 is next which includes last Friday’s low. If that fails, goodnight Irene, Irene goodnight. Price will hit an air pocket and collapse to 2625-2628.

On the bull side, the SPX will need to move above that 2675 resistance for starters taking out last week’s highs. Once through that, 2681-2683 is next. If price is running higher, the key 2691 resistance is next then 2696 then 2701. These levels are pit stops on the way to the major moving average cluster at 2710-2713 and higher.

If the bulls can push price up through 2713, a test of the major 2723-2728 level is next for all the marbles. This confluence includes the key 12-month MA at 2726 which dictates if the stock market is in a cyclical bull or cyclical bear pattern. Stock market bulls have zero hope in the intermediate and long-term (weeks, months, years) unless the SPX moves back above the 12-month MA at 2726.

The strongest support/resistance for the SPX (S&P 500) is 2723-2728, 2710-2713, 2701, 2696, 2691, 2681-2683, 2675, 2670, 2666, 2659, 2648-2652, 2625-2628, 2613-2619, 2604-2607, 2588, 2583-2584, 2578-2581, 2560.

Note: If the list below displays any blank spaces, view it in the Google Chrome browser or disable your Adblock software. Doing this allows the KE Stone blog sites to receive proper advertising credit from Google and Amazon. As always, thank you to all the loyal supporters over the years. All of you deadbeats need to be in a more charitable mood if you want the information to continue.

SPX (S&P 500) SUPPORT/RESISTANCE (S/R) through 1/21/19;

3000

2950

2945

2941 (9/21/18 All-Time Intraday High: 2940.91)

2940

2937

2935

2932

2931 (9/20/18 All-Time Closing High: 2930.75)

2927

2926

2924

2922

2919

2917 (8/29/18 Intraday High: 2916.50)

2914 (8/29/18 Closing High: 2914.04)

2912

2908

2906

2904

2902

2901

2900

2898

2897

2895

2894

2892

2889

2886

2884

2874

2873 (1/26/18 Intraday High: 2872.80)

2872

2867

2864 (9/7/18 Intraday Low: 2864.12)

2863

2862

2857

2856

2854

2853

2851

2850

2848

2846

2843

2842

2840

2839

2838

2836

2835

2833

2831

2830

2827

2824

2822

2818

2817 (10/17/18 Intraday High: 2816.94)

2816

2815 (11/7/18 Intraday High: 2815.15)

2813

2810

2809

2808

2806

2803

2802 (3/13/18 Intraday High: 2801.90)

2800 (12/3/18 Intraday High: 2800.18)

2799

2798

2797

2791 (6/13/18 Intraday High: 2791.47)

2789

2786

2783

2782

2780

2779

2776

2774

2770

2767

2764

2762

2760

2754.85 (150-day MA; the Slope is a Keystone Cyclical Market Signal)

2754

2753

2751

2749

2748

2744.16 (6-month MA)

2744

2743

2742 (5/22/18 Intraday High: 2742.24)

2741.12 (200-day MA)

2741

2738

2735.29 (10-month MA)

2733

2731.79 (100-day MA)

2731

2729.99 (50-week MA)

2728

2727

2725.64 (12-month MA; the ‘cliff’ a Keystone Cyclical Market Signal)

2724

2723

2717 (4/18/18 Intraday High: 2717.49)

2713.34 (20-week MA)

2713

2711

2710 (10/11/18 Intraday Low: 2710.51)

2705

2702

2701

2699

2696

2695 (12/18/17 Intraday High: 2694.97)

2693

2692 (6/2818 Intraday Low: 2691.99)

2691

2685

2683

2682

2681

2678

2677 (5/29/18 Intraday Low: 2676.81)

2676

2675.47 Previous Week’s High

2675.47 Friday HOD

2675 (1/18/19 Intraday High for 2018: 2675.47)

2674 (12/29/17 Intraday Low; 2673.61)
2671 (1/18/19 Closing High for 2019: 2670.71)

2670.71 Friday Close – Monday Starts Here

2670 

2668

2665.63 (20-month MA)

2665 (12/4/17 Intraday High: 2665.19)

2664

2661

2659

2658

2653 (12/13/17 Intraday Low: 2652.85)

2652

2650

2648

2647.58 Friday LOD

2639

2637

2635

2633

2628

2625.45 (50-day MA)

2618.65 (100-week MA)

2613

2606

2605 (12/1/17 Intraday Low: 2605.52)

2604 (10/29/17 Intraday Low: 2603.54)

2602

2601

2600

2597 (11/7/17 Intraday High: 2597.02)

2595 (5/3/18 Intraday Low: 2594.62)

2593

2588.19 (200 EMA on 60-Minute Chart an Important Near-Term Market Signal)

2588

2586

2585

2584

2583 (12/10/18 Intraday Low: 2583.23)

2582

2581

2579

2578

2575

2573

2570.41 Previous Week’s Low

2569

2567

2566

2560

2557

2555

2554 (4/2/18 Intraday Low: 2553.80)

2553

2552

2551

2549

2548

2545

2544 (10/25/17 Intraday Low: 2544.00)

2541

2535

2534.59 (20-day MA)

2532

2529

2521

2520

2519

2510

2508

2507

2506.85 January Begins Here

2503

2500

2497

2496

2491 (8/8/17 Intraday High: 2490.87)

2488 (9/25/17 Intraday Low: 2488.03)

2484 (7/27/17 Intraday High: 2484.04)

2483

2482

2481 (8/7/17 Closing High: 2480.91)
2480
2478 (7/27/17 Closing High: 2477.83)

2477

2476

2475

2472

2469

2468

2465

2464.18 (150-week MA)

2454 (6/19/17 Intraday High: 2453.82)

2453 (6/19/17 Closing High: 2453.46)

2450

2448 (1/3/19 Closing Low for 2019: 2447.89)

2445

2444 (1/3/19 Intraday Low for 2019: 2443.96)

2443

2442

2441

2439

2438

2436

2434

2431

2429

2428

2426

2423

2422

2419

2417 (8/21/17 Intraday Low: 2417.35)

2416

2415

2412

2406

2404

2401 (3/1/17 Intraday High: 2400.98)

2400

2396 (3/1/17 Closing High: 2395.96)

2394

2390

2389

2387

2382

2380

2378

2375

2373

2370

2368

2365

2363

2361

2359

2357

2356.64 (200-week MA)

2356

2355

2353

2351

2349

2345

2343

2342

2341.32 (50-month MA)

2340

2338

2336

2335

2329

2322

2311

2300

2299

2298

2297

2296

2293

NYMO McClellan Oscillator Daily Chart

The NYMO remains at record-setting multi-year elevated levels. It has nowhere to go except down. You want to start looking for a rally and nibbling on the long side in the stock market when the NYMO washes out below -40. You want to be looking for a pullback and shorting opportunity once the NYMO starts moving above +40.

The -111 reading was unbelievable and it led to a recovery move. The year began with the big 1/3/19 selloff in equities which jives with the NYMO tagging the +40 level but this is where things have gotten crazy. The world's central bankers must be afraid of something they see since they all are singing dovish songs over the last two weeks pumping global stock markets higher. The NYMO rocket launches higher to nearly 120 a multi-year high an outrageous number.

There is nowhere to go except down and stocks pull back a hair a few days ago but the central bankers keep jawboning happy dovish talk so stocks want to rally on the easy money promises. The NYMO jumps back up to 105 an extremely elevated number and the NYMO has been in this elevated range for a couple weeks. The NYMO is going to come back down to earth and when it does so does the stock market. 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.

CPC Put/Call Ratio and SPX S&P 500 Daily Charts; "Jawbone Rally"; Near-Term Top At Hand

Stock have received a strong goosing over the last 2 weeks from happy trade talk and global central banker dovishness. It started with the Whitehouse releasing happy news about the US-China trade talks (with no detailed information). Then President Trump tweets same. Then Treasury Secretary Mnuchin says same. Then China chimes in with happy talk. Then the Federal Reserve began flapping dovish wings with Chairman Powell pushing off rate hikes into the future. Equities explode higher on the central banker easy money forever that continues for a decade.

It gets better for the stock market bulls with more US-China happy trade talk (still without any details). The PBOC (China's central bank) announces a triple R cut (which allows banks to lend more freely to spur the economy) creating more global market joy. Then ECB President Draghi hints that their easy money policies may continue for a longer period of time. Traders cheer the central bankers. They are modern-day money God's that can pump stock markets higher instantaneously with their dovish coos.

The BOJ then promises to maintain its easy monetary policies with no plans to change course anytime soon. Global investors are throwing confetti, drinking Fed wine and PBOC baijiu, and singing songs such as "Happy Days Are Here Again."

Then Fed Presidents Evans and Williams as well as others murmur soft dovish tones boosting equities higher. For gosh sake, whatever the Federal Reserve sees coming down the pike during the first few days of the new year (the 1/3/19 mini-crash) must have really scared them, as well as other global central bankers. The global central banks collude on policy the last few years and the ECB, BOJ and PBOC each saw a need to speak dovishly to get the global stock markets off on the right foot for 2019.

The upside joy then continues with more happy US-China trade talk. The Chinese announce plans to take the trade deficit to zero over six years time. The communists pick six years to appeal to President Trump's ego. Of course if Trump is re-elected in November 2020 he will serve another four-year term which totals six years from now. The Chinese, as do other foreign leaders, know that Trump feeds off adoration and praise, and this character flaw can easily be used to get better deals, hence they pick six years to stroke his ego. The filthy communist leadership in Beijing has no intention to ever follow through with a six-year plan; it is simply more talk and smoke and mirrors.

All of the above happy juice has sent the S&P 500 from 2450 to 2675 a big 225 points, +9.2% in 11 days. If you had to split the last couple weeks of bullish joy into categories, the SPX likely popped about 65 points due to happy US-China trade talk, about 40 points for the PBOC stimulus, about 90 points for the Fed dovishness, 20 points for the ECB dovishness and 10 for the BOJ dovishness. Add all that together for the two-week "Jawbone Rally." The only true concrete action item is the PBOC's triple R cut; all the other promises on trade and dovish central banker talk is nothing more than jawboning and lip-flapping. 

Aren't the markets a joke due to the central banker intervention? All price discovery has been destroyed over the last decade by the central banks. No one actually knows what anything is truly worth anymore. We will all find out together in the weeks, months and couple years ahead.

All the politics, trade and central banker stuff aside, the charts above indicate a top at hand. Traders are drunk as skunks on the central banker booze, dancing with lamp shades on their heads, buying stocks at the ask. Everyone is convinced that the coast is clear. Investors are afraid of missing the train leaving the station. They are running down the tracks throwing money at the caboose trying to buy shares with reckless abandon. There is no fear. Traders are convinced that stocks will continue rallying joyously higher as verified by the low put/call ratio. Do not be a fool and chase the market higher. It is about to retreat.

The last uber low put/call at the end of 2018 resulted in a top near 2625 and drop to 2450 so that pull back was about 75 points. This is when the Fed stepped in with dovishness to save the day. Obviously, the central banks were worried that the stock market was rolling over into oblivion so Powell started flapping his dovish wings like a madman. The central bankers always rescue the stock market to protect the wealthy elite class that own large equity portfolios. The central bankers are the market.

Ditch your VST and ST long plays and bring on index shorts. You should have opened shorts or bot protection yesterday. It may take a day or three to top out and drop, but you want to be on the short side for the days ahead. Next week ought to be very interesting. 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.

SPX S&P 500 2-Hour Chart; Overbot; Rising Wedge; Negative Divergence; Upper Band Violation

Finally. After a week of non-stop bull pumping by the Whitehoue, President Trump, China and the global central bankers, the SPX 2-hour is finally in neggie d. All the indicators are negatively diverged (red lines) as price prints a new matching and higher high. Price is out of gas. The MACD line is trying to sneak out a higher high but remains neggie d over the last week. At 1:33 PM, the SPX is at 2666. The red rising wedge pattern is ominous as Keystone has previously preached. The drop out of rising wedge can be dramatic and spectacular.

The RSI and stochastics are overbot agreeable to a pullback. The SPX leaps above the upper standard deviation band at 2661 on the non-stop orgy of bullish news. Overnight, Fed's Evans was flapping his dovish wings creating +10 handles in the S&P futures. Then Fed's Williams has no shame and actually steals the same dovish words that ECB President Draghi says by urging "prudence, patience and good judgment."  The spoo's were up +20 points going into the opening bell for the regular session. Then China performs a strip tease for the stock markets promising to bring the US trade balance to zero over the next six years. The S&P 500 jumps 40 points to a HOD at 2675. The happy talk news bites keep goosing stocks higher. Let's call it the "Jawbone Rally." The middle band at 2612 is on the table.

The chart says the near-term top is now (in the 2-hour time frame). The only thing that can save it is more happy talk news bites. If the MACD line can squeeze out a tiny higher high, that could delay the top but only for a couple hours. It is likely the bears turn at bat now with a potential neggie d spankdown on tap to begin immediately. 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 2:07 AM EST: A new candlestick begins for the 2-hour chart above at 2 PM and its moving sideways. The indicators remain in neggie d. That sneaky MACD line remains in neggie d but tries to slope higher. The near-term top should be in right now. Bulls want to try and jam the stock market into the weekend at the current levels or higher. The SPX is at 2669. The bears want the negativity in the chart above to kick in right now.

Note Added 2:23 PM EST: The SPX is at 2667. You have to see if the S&P 500 takes out the 2666 low from 1:33 PM. If so, that will lead to more downside and the neggie d on the chart above should start kicking into gear. The bulls still believe they can hang on for 90 minutes and make it to the weekend.

Note Added 2:29 PM EST: The SPX is battling at 2666. The LOD is at 2648 so if that is lost, the wheels would fall off the cart. The bulls keep trying to run out the clock.

Note Added 3:13 PM EST:  The SPX fell to the 2662 palindrome and bounced up to 2666 for a back kiss, and failed to 2663, then bounced again to 2666 right now; another back test. it is bounce or die time form 2666 and this likely dictates the direction of the stock market into the closing bell.

Note Added 4:02 PM EST: The SPX pops from 2666 to 2671 in the last minute. If you did not buy protection this afternoon, shame on you.

BPSPX S&P 500 Bullish Percent Index Daily Chart

The BPSPX is on a double-whammy buy signal reversing off the bottom by six percentage-points and then recovering back above the 30% level. If you ever see the BPSPX fall below 15 (a wash-out), you want to be buying the market with both hands. Conversely, if you ever see the BPSPX above 85, you want to be betting the farm on the short side.

The bulls are on easy street pushing stocks higher with happy news bites every few hours either from President Trump, China or the central bankers. The BPSPX pops to 47.60 at noontime Friday so six points in reverse is 41.60. The bulls remain in control unless the bears can push the BPSPX below 41.60. The BPSPX is more of a confirmation signal of the current trend rather than a predictive signal. 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.

MUX McEwen Mining Weekly Chart; Oversold; Positive Divergence

MUX sinks over the last couple years bumping along trying to find a base. The chart indicators are very encouraging with positive divergence (green lines). MUX is crushed -7% this week. The selling pressure is active. However, the 2-hour chart is set up with positive divergence and hints at a bottom in price over the coming hours.

Keystone's 80/20 rule says 8's lead to 2's and 2's lead to 8's. When MUX lost the 2.2 level, 1.8 was on the table and it occurred. Price has bounced sideways through the 1.8-2.2 area over the last year. Price lost the 1.82 level so 1.78 is on the table and occurs. The 1.72 level occurs so 1.68 is on the table and that is on the screen right now. MUX has a chance to hold this 1.65-1.69 area as the 2-hour chart bottoms and exhibits possie d.

Keystone bot MUX today and will buy again next week and probably the week after then sit on the long trade for a couple-few months. It will be interesting to see if MUX places a near-term bottom today. 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.

SPX S&P 500 Daily Chart; Fibonacci Retracements; SPX Exactly Tags 50% Fib

Whoa, doggie, look at that. The S&P 500 comes up to exactly kiss the 50% Fibonacci retracement at 2645 and then settles for the day at 2636. On the first try to overtake the 50% Fib, price receives a spank down. Bulls must overtake the 50% Fib to then set their sights on the 62% retracement up at 2715 (this is in the neighborhood of the critical 12-month MA at 2723).

As of right now, the stock market has retraced exactly one-half of the down move from 2941 to 2350. 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.