Yesterday continued this recent trend of narrow range days with a daily range of 9.19 points for the S & P 500.
The average true range, which has been slowly declining, now reads 12.98.?
The last time we saw levels this low we were back at the end of 2014 when the readings registered a low of 11.54.
This was just before the market bottomed in February of 2104 at 1,737.92 and went on to peak at 2,134.72 in May of 2015, just a short year and one half later.
Can a move like this happen again?
Possibly, but there is overhead resistance at the upper extreme bollinger bands.? On the daily chart, that price level is 2,254, which is precariously close to the 2,250 I have shared as the ultimate objective for this market.
But, the S & P 500 needs to clear the 2,187.50 level.
Pre open, the market is trading to the upside just over that level.
If the S & P 500 opens above 2,187.50, look for that level to act as support.
If we can get two closes above 2,287.50, I would feel that level has been officially violated. And the next objective would be to 2,203.
?
This is one of those times when you do not short a quiet market.
Here are the key levels for the markets.
VIX:
Minor level - 17.96
Major level - 15.63
Minor level - 14.85
Minor level - 13.28 *
Major level - 12.50 *
Minor level - 11.72 *
Minor level - 10.15
Major level - 9.38
After hitting a high of 13.02, the VIX moved down and closed under 12.50, at 12.27.
The 13.28 level offered the expected resistance and now that it is under 12.50, expect that level to offer resistance.
11.33 should offer minor support.
S & P 500 Cash Index:?
Major level - 2,250.00
Minor level - 2,234.38
Minor level - 2,203.12 *
Major level - 2,187.50 **
Minor level - 2,171.88 **
Minor level - 2,140.62
Major level - 2,125.00
Minor level - 2,109.38
Minor level - 2,078.12
Major level - 2,062.50
The minor support level at 2,175.80 held, as the low for yesterday was 2,175.98.
Look for minor support at 2,183.60.
2,195.30 could be a difficult level to breach on the first attempt.
Nasd 100 (QQQ):?
Major level - 121.88
Minor level - 120.31
Minor level - 119.53
Major level - 118.75 *
Minor level - 117.97 *
Minor level - 116.41
Major level - 115.63
Minor level - 114.85
Minor level - 113.28
Major level - 112.50
117 and 117.19 should offer support.
Objective should be up to 117.58.
TLT:?
Major level - 143.75
Minor level - 142.96
Minor level - 141.41
Major level - 140.63
Minor level - 139.85
Minor level - 138.28 *
Major level - 137.50
Minor level - 136.72
Major level - 134.38
Objective should be back to 140.63.
139.45 should be a minor support level.
The minor 141.41 level could be difficult to breach on the first attempt.
GLD:
Major level - 131.25 **
Minor level - 130.46
Minor level - 128.91 *
Major level - 128.13 *
Minor level - 127.35 *
Minor level - 125.78
Major level - 125.00
Minor level - 124.22
The 128.13 level should now be resistance.
Minor support should be at 127.54.
The GLD should bounce, however, I would expect it to be short lived.
XLE:
Major level - 75.00
Minor level - 74.22
Minor level - 72.66
Major level - 71.88
Minor level - 71.10
Minor level - 69.53 *
Major level - 68.75 *
Minor level - 67.96
Minor level - 66.41
Major level - 65.63
Minor level - 64.85
The objective should be to 71.88.
71.88 should be a difficult level to breach on the first attempt.? If it fails to get through it, look for a move down to 68.75.
Minor support is at 69.53.? 70.31 should be minor resistance.
Apple:
Major levels for Apple are 112.50, 106.25, 100, 93.75, and 87.50.
108.20 should be minor support and Apple closed just above it yesterday.
Look for a move up to 109.77 and if it closes above that level, I would expect a continuation to 112.50.
Watch list:
Bullish Stocks: PCLN, BIIB, NTES, BIDU, FDX, APD, PH, AVGO, AET, UPS, UTX, KSU, FANG, EOG, NSC
Bearish Stocks:? CMG, SBNY, LLY, LPNT, SBUX, AN, LEN, FSLR, SABR, RLGY, SCTY, JBLU
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Be sure to check earnings release dates.
