Transition Zone
S&Ps are trading down 1.20 at 1166 this morning, which sets the opening right in an important transition zone for this market.
To get some momentum started on the upside, we must get above 1169. We have major resistance at 1168.50. Above that, we have another critical resistance area at 1171-1171.50.
Below 1166, we have 1163 as support, and then 1160, and 1158.50.
Nasdaq is trading up 150 at 1519.50. On the support side, we have light support at 1515 to 1510. Below this, we have support at 1503 to 1495. If they get below this, we’re looking for 1489 to trade.
On the upside, we have resistance at 1528 to 1535. If they get above this, we’re looking for 1565 to trade. We have resistance along the way at 1545 to 1555 and 1555 to 1567.
The Dow rallied and closed up more than 100 points yesterday, above our 10,200 level. This puts the Dow back into our neutral/bearish zone.