• 9 hours Why The Gold Rally Flatlined
  • 15 hours The Uranium Sector Can’t Catch A Break
  • 1 day Upcoming Fed Meeting Has Investors On Edge
  • 2 days Global Gold Sector Outlines Responsible Mining Principles
  • 2 days China’s Giant Vampire Fund Loses $120B
  • 3 days McDonalds To Roll Out Robot Drive-Thru Clerks
  • 3 days Savvy Investors Are Betting Big On This Little Data Company
  • 3 days How The Government Is Wasting Tax Money This Year
  • 4 days Supply Concerns Halt Expansion On Tianqi Lithium Plant
  • 4 days The World’s Biggest IPO Is Almost Here
  • 4 days The Relatively Of Money And Happiness
  • 5 days Wall Street Unfazed By Recession Fears
  • 5 days SoftBank Urges WeWork To Pause IPO Plans
  • 5 days Anti-Aging Market To Hit $55 Billion
  • 6 days JPM, Morgan Stanley Take Advisory Roles In Aramco IPO
  • 6 days Are Bonds In A Bubble?
  • 6 days The Unknown Media Giant Taking The World By Storm
  • 7 days From Millennial To Millionaire With One Simple Trick
  • 7 days The 5 Most Expensive Art Pieces Ever Sold
  • 8 days Are Gold Stocks Overbought?
Zombie Foreclosures On The Rise In The U.S.

Zombie Foreclosures On The Rise In The U.S.

During the quarter there were…

The Problem With Modern Monetary Theory

The Problem With Modern Monetary Theory

Modern monetary theory has been…

Billionaires Are Pushing Art To New Limits

Billionaires Are Pushing Art To New Limits

Welcome to Art Basel: The…

  1. Home
  2. Markets
  3. Other

SP500: Guideposts Nearby On Multiple Timeframes

Prove It To Me Market

As we outlined in a November 20 video clip, the "return to the year of the whipsaw" action in the S&P 500 over the last few weeks means we prefer to make the market "prove it" by clearing some overhead guideposts.


Daily Guidepost

If the S&P 500 is to rally for several months and go on to make significant higher highs, it has to clear and hold above 2093, which is the R1 line shown in the chart below. The S&P 500 closed at 2089 on Tuesday, November 24.

S&P500 Daily Chart


Weekly Guidepost

When areas of possible resistance or signals occur on multiple timeframes they tend to be more useful. The R1 level on the weekly chart of the S&P 500 sits at 2095. The S&P 500 closed at 2089 on Tuesday, November 24.

S&P500 Weekly Chart


Monthly Guidepost

The possible resistance trifecta is in play with R1 on the monthly S&P 500 chart coming into the picture at 2095. The S&P 500 closed at 2089 on Tuesday, November 24.

S&P500 Monthly Chart


How Can This Help Us?

If the S&P 500 closes over 2095, does it mean we have entered bullish utopia? No. A single close or even a handful of closes over 2095 does not necessarily mean resistance has been cleared; there is no magic number of days. If 2095 is cleared and held, the longer the market stays above 2095 and the further it moves above 2095, the more relevant it becomes.

 

Back to homepage

Leave a comment

Leave a comment