The recovery from the Brexit vote continues with the S & P 500 hitting all time highs.
The S & P flirted with the 2,140.62 level, hitting a high of 2,143.16 before closing under the level at 2,137.16.
So, the market still needs two closes above that level to move higher.
The concerning fact is that both the S & P 500 and the VIX closed to the upside yesterday.
The VIX closed up at 13.54 after hitting a low of 13.
This tells us to expect profit taking soon.
Pre open, the markets are set to open higher.
Watch the 2,140.62 level to see if the S & P 500 can close above it.
In addition, Alcoa reported last night to begin the earnings season with a beat.? Pre open, it is trading to the upside over 4%.
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
14.06 should still act as resistance.? Also, look for 15.63 to offer resistance.
12.50 is a major long term support level.? Watch if it holds as support.
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
2,156.30 should be a difficult level to break on the first attempt and offer resistance.? If the S & P can get through it on the first attempt, it will continue higher.
2,125 should act as support.
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 inched up and closed at 110.93 yesterday.
Objective should be 112.50.
Minor support is at 110.55 and minor resistance is at 111.7.
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 143.75 level is offering the expected resistance.
The TLT closed 1.26 points to the downside yesterday, at 142.34.
It is still trading above the upper band on the daily chart, which is 140.92.
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
A close today under 130.46 and the GLD should drop to 128.13.
It did stop at the upper band on the 6th.
Bullish % interest for the gold miner sector still reads 100%.
Opportunity will exist on a pullback.
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.
Same as yesterday.
Apple:
Major levels for Apple are 106.25, 100, 93.75, and 87.50.
The upside objective should still be back to 100.
Apple cleared the mid band on the 60 minute chart yesterday.
96.80 should be support and 100 should be the next objective.
Watch list:
Bullish Stocks: LMT, ULTA, BCR, MMM, BDX, COST, WAT, RTN, CASY, UPS, CTAS, CME, COR, VRSK
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Bearish Stocks:? HUM, FLT, BWLD, JAZZ, MA, ACHC, AGU, HIG, MET, VRNT, SF
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Be sure to check earnings release dates.
