Yesterday was the first close above 2,140.62, with the S & P 500 closing for the day at 2,152.14.
That would mean if the market closed above 2,140.62 today, the upside objective becomes 2,187.50.
There are two concerns at the moment.? The first is that for the past two days, both the VIX and the S & P have closed to the upside.
This is a divergence and usually portends a pullback to follow.
It does not mean the trend will change, but it is a warning.
The other factor of concern at the moment is that the S & P traded within a point of the previously identified 2,156.30 resistance level.
This is a level that should be difficult to get through on the first attempt.
Having said that, if the S & P 500 can clear 2,156.30, it paves the way for the move up to 2,187.50.
At 12:00 EST, we will have our webinar. I hope to see you on the webinar.
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
12.50 should be the objective, but it may not get down there.
Yesterday's low was 12.75, so it came within 25 cents of the target.
For the last two days, the VIX has managed to close above 13.28.? Watch this level today and if it holds as support, look for the markets to pullback.
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
With a close above 2,140.62 today, the objective becomes 2,187.50.
As I mentioned above, 2,156.30 should offer resistance.
Support should be at the major 2,125 level.
Minor support is at 2,140.60.
Nasd 100 (QQQ):?
Major level - 115.63
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
The objective should still be 112.50.
Minor support is at 110.94 and 110.16.
Minor resistance is at 113.28.
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 finally had the drop I had expected.
Since failing to get through the 143.75 level, the TLT has sold off and closed at 140 yesterday.
It closed back inside the upper band.
137.50 should be a strong support level.
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
Similar to the TLT, the GLD got within 10 cents of the 131.25 level and sold off.
It closed at 127.15 yesterday.? I would expect the 125 level to offer support.
Bullish % interest for the gold miner sector still reads 100%.
If my warnings on these two markets perhaps persuaded you to avoid long positions, then I have done my job.
XLE:
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
Minor level - 63.28
Major level - 62.50
The XLE took out the 68.75 objective and closed one cent under the next upside confirming level, which is 69.53.
It needs two closes above 69.53 to move to 71.88.
Support should now be at 68.75.? Minor support is at 67.97.
Apple:
Major levels for Apple are 106.25, 100, 93.75, and 87.50.
The upside objective should still be back to 100.
But, watch the 98.44 level.? If it fails at that level, it could drop quickly.? Short term charts still remain in downtrends.
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.
