Friday, the S & P 500 hit the objective of 2,125, I have been calling for.? It hit a high of 2,131.71 and closed at 2,129.90 for the week.
As this was happening, the VIX sold off 10.63% for the week, continuing to confirm the move up in the markets.
Also, last week's low for the week was 2,074.02. I bring this up because I mentioned last Tuesday that support from the prior weekly bar should be around 2,067.
The low came in on Wednesday and the high on Friday.
This is typical price action that you would expect.
I also mentioned that the high from the prior week should be violated before the low.
These are expectations that I will explore a bit further on this week's webinar.
So, now that the 2,125 objective has been hit, where does the market go?
I will outline the levels below and continue to do so as they trade.
The main event or events this week is that we start the earnings season.
The season typically starts with Alcoa (AA) reporting after the close today.
Pre open, the markets have a bullish bias and should open higher.
Here are the key levels for the markets.
VIX:
Minor level - 19.53
Major level - 18.75
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
The VIX is back for another retest of the 12.50 level. This is a major support level for the VIX, so watch if the VIX holds there.
Minor resistance is at 14.06 and 13.28. 10.94 should be minor support under 12.50.
S & P 500 Cash Index:?
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
Minor level - 2,046.88
Minor level - 2,015.62
Major level - 2,000.00
Next level to watch is 2,140.62 because the S & P 500 will need two closes above that level to move to 2,187.50.
2,109.40 should offer resistance.
2,156.30 should be a difficult level to break on the first attempt.
Nasd 100 (QQQ):?
Major level - 112.50
Minor level - 111.72
Minor level - 110.16
Major level - 109.38
Minor level - 108.60
Minor level - 107.03 *
Major level - 106.25 *
Minor level - 105.46
The QQQ closed Friday at 110.79, so if it closes above 110.16 today, it should move up to 112.50.
Support should be at 109.38 and 108.59. Minor resistance is at 111.72
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
The TLT is still overbought and trading above the upper band on the daily and the weekly charts.
The TLT is within 13 cents of the major 143.75 resistance level.
If the TLT breaks through this level, expect it to move higher.? The best scenario is to see if this happens.
If it can't get through it, I would expect a pullback.
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
Like the TLT, the GLD is right up against a major level, which is 131.25.
The upper band is 131.31, so there is strong resistance at these levels.
Watch to see if the GLD can get through 131.25.
Bullish % interest for the gold miner sector still reads 100%.
XLE:
Minor level - 69.53
Major level - 68.75 *
Minor level - 67.96
Minor level - 66.41
Major level - 65.63
Minor level - 64.85
Minor level - 63.28
Major level - 62.50
Objective should be to 68.75.? To move higher, it will need to close above 69.53.
Minor support is at 67.19.
Apple:
Major levels for Apple are 106.25, 100, 93.75, and 87.50.
The upside objective should still be back to 100.
Apple is sitting right at the midband on the 60 minute chart, which is 96.73.? Watch to see if it can clear this level.
95.31 should be support.
Watch list:
Bullish Stocks: LMT, ULTA, BCR, MMM, BDX, COST, WAT, RTN, CASY, UPS, CTAS, CME, COR, VRSK
?
Bearish Stocks:? HUM, FLT, BWLD, JAZZ, MA, ACHC, AGU, HIG, MET, VRNT, SF
?Be sure to check earnings release dates.
