The SPX bounced back today and closed at 1978.09 with a gain of 25.06 points or 1.28%. In the short term, one shouldn’t be surprised to see it retest the December 16, 2014 close at 1972.56 before it makes another push to the 1993.48 pivot high. The near term potential resistance remains to be at 2040.40 and the support continues to be the October 2014 closing low at 1896.49.
SPX - intraday
(click on the chart to enlarge)
For the SPY, a retest of the 197.91 (2) in the short term is likely before it makes a push above the 199.84 (3) pivot level. The potential resistance for the near term remains to be at 204.40 and the potential support at 186.27. Note the dotted red line projects a possible price movement as described in scenario #1 for the SPY.
SPY - intraday
The Nasdaq 100 moved above the potential resistance level at 4349.93. It closed at 4360.28, a gain of 51.52 or 1.20%. The revised potential resistance is at 4434.11, which is the 7/10/15 price gap and near the 8/12/15 low. The potential support also has been moved up to the 12/16/2014 close at 4089.60. In the short term, expect a possible retest of the 4349.93 level before it makes a move toward 4434.11.
NDX
The Russell 2000 is still trying to make it to the potential resistance level at 1175.51. It closed today at 1166.00 with a gain of 12.50 or 1.08%. In the short term, look for the Russell 2000 to retest the 1154.71 level before another attempt to break above 1175.51. The 1175.51 level will remain to be the near term potential resistance and the 1139.38 continues to be the potential support.
RUT
The market breadth still needs more improvement before it can provide an indication that the recent pullback has ended. Tomorrow trading session could be choppy and range bound as participants are trying to position for the FOMC rate decision. A minor pullback prior to the FOMC rate announcement is not surprising. Moving to the sideline until after the FOMC announcement could be a prudent thing to do.
