Today we are analyzing the SPDR S&P 500 (NYSEMKT: SPY) as the most liquid of all ETFs covering the broad market. The markets have digested regional Fed data, housing data, and a strong consumer confidence reading. Volume also still feels a bit low and the charts seem to be the guiding force as markets try to adjust from watching each number to watching out how easing measures will continue to play into the markets into 2013. And that Fiscal Cliff issue remains… tick, tock.
For Tuesday’s chart analysis, Phil Erlanger said,
Monday saw SPY range bound pivot to support when we wrote. We noted, “Watch to see if stocks can rebound from early weakness and SPY can move above $140.93. It would be an ominous sign for the market if SPY cannot hold support at $140.46.”
SPY rallied to close above pivot at $141.05. Today we are trading pivot to resistance. Pivot is $140.87. Resistance is up at $141.54. The 5 minute range is $140.93 to $140.75. Several key economic data points are due out at 10:00 a.m. EST that could move markets. Watch to see if pivot holds or we can take out resistance.
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November 27, 2012