Key Resistance Up Ahead
S&Ps are trading at 1147.50, up 2.30. For today, the first key area of resistance will be 1148.50 to 1150.50. Remember, on Wednesday, our opening range was 1148 to 1149. We made an 1150.50 high and then traded down to 1133.50. So this will be key resistance. In addition, we have scale-up resistance all the way to 1155.
On the downside, if we fail to hold above 1148.50, we would anticipate some of the rally from 2:55 to 3:15 p.m. yesterday — which took us from 1139.50 to 1146 — to be retraced. We would then trade back into the key zone between 1141.50 and 1138. We have support in that zone, and we anticipate that zone to be very choppy, much as it was yesterday afternoon.
Nasdaq is down 0.50 at 1587.50. On the upside, the first key area is going to be 1593 to 1596. If we get above this, we’re looking for 1607. We have a packet of resistance between 1604 and 1608. Now above this resistance, we’re looking for 1625. Along the way, we have resistance between 1614 and 1615, then 1620 to 1621.
On the downside, if we cannot maintain the bid above 1585, we would anticipate lower prices ahead. The first target is yesterday afternoon’s low area at 1575-73. Below this is yesterday’s low of 1568. But the bigger issue is the support zone between 1565 and 1560.
As for the Dow, a late move higher and settlement above our resistance zone at 9872. That is bullish.