SPX support, resistance (S/R), moving averages and other important levels are provided for trading the week of 11/18/13. It was critical that at a minimum price needed to back test the 20-day MA, now at 1765.13, and rising, and two back kisses occur with the 20-day only acting as a trampoline spring board launching the SPX 3 days ago. The upside orgy began when privileged and insider traders received future Fed Chair Yellen's written testimony at lunch time Wednesday, 11/13/13, which displayed her very dovish thinking as suspected. The SPX catapults from 1766 intraday to the 1798 close Friday within 2 ticks of 1800. A 32-handle rally, +1.8%, in 17 hours of trading time, the SPX gaining 2 points per hour ever since Wednesday; quite a welcome for Yellen, the QE Queen. Chairman Bernanke is dropping cash from helicopters but it is now revealed that the pilot of the money chopper is Yellen. In concert with the Fed pumping the stock market, the BOJ beat the yen lower which causes the dollar/yen pair to jump above 100 and took the Nikkei as well as U.S. equities higher. The BOJ will play a big roll in the new week of trading. Last week, the Fed and BOJ central bankers fired both barrels together creating a vertical move in U.S. equities and the Nikkei.
The Fed's easy money is powerful and does not permit markets to correct. The SPX is above the 200-day MA, now at 1637.46, for one-year's time, an unprecedented occurrence. Price always checks back to the 200-day, from above or below, every few months time, at a minimum, but not in these markets. The Fed stimulus is too powerful. For Monday, the bulls only need a smidge of green in the overnight futures and the upside party will continue with an 1800 print for the first time in history and a run towards 1810. The bears must push under the strong support at 1791 to accelerate the downside selling. A move through 1792-1798 is sideways action for Monday.
Strong support below is 1791 and 1775 with very strong support at 1772. The 1756-1763 area is a confluence of support and serves as an important gauntlet moving forward. Bulls will not be concerned about any market pull back as long as they stay above the 1745-1763 zone. Everything is coming up roses for the bulls. If the BOJ weakens the yen further, the market melt-up will continue. Bears need to hold under 1800, otherwise, price will start to seek the 1820's.
1798 (11/15/13 All-Time Intraday High: 1798.22)(11/15/13 Intraday HOD for 2013: 1798.22)(11/15/13 All-Time Closing High: 1798.18)(11/15/13 Closing High for 2013: 1798.18)
1798.22 Previous Week’s High
1798.22 Friday HOD
1798.18 Friday Close – Monday Starts Here
1792
1791
1790.66 Friday LOD
1783
1782
1780
1775 (10/30/13 Market Top: 1775.22)
1772 (10/29/13 Market Closing Top: 1771.95)
1770
1768
1765.13 (20-day MA)
1763
1762
1760.64 Previous Week’s Low
1759
1756.54 November Begins Here
1756
1752
1749.68 (200 EMA on 60-Minute Chart a Keystone Market Turn Signal)
1747
1745
1737
1736
1733
1730 (9/19/13 Market Top: 1729.86)
1726 (9/18/13 Market Closing Top: 1725.52)
1723.84 (50-day MA)
1722
1720
1710 (8/2/13 Market Top: 1709.67)
1708
1706
1703
1701.12 (20-week MA)
1700
1698
1697
1696
1694.68 (100-day MA)
1693
1692
1691
1689
1688
1687 (5/22/13 Intraday High Top: 1687.18)
1686
1685
1683
1682
1680
1675
1672
1669.52 (150-day MA; the Slope is a Keystone Cyclical Signal)
1669 (5/21/13 Closing Top: 1669.16)
1666
1664
1661
1659
1657
1652
1650
1649
1647.34 (10-month MA; a major market warning signal)
1647
1646
1640
1639
1637.46 (200-day MA; not seen for 1 year)
1636
1634
1629
1627
1626
1624
1623
1618
1616.48 (12-month MA; a Keystone Cyclical Signal) (the cliff)
1614
1611
1609
1607.62 (50-week MA)
1607
1606
1605
1600
1598
1597
1593 (4/12/13 Market Top: 1593.30)
1589
1586
1583
1579
1578
1576 (10/11/07 Intraday High: 1576.09)
1569
1565 (10/9/07 Market Top: 1565.15)
1564
1563
1561
1560 (6/24/13 Intraday Low)
1556
1553 (10/31/07 Top: 1552.76) (3/24/00 Top: 1552.87)
1552
1551
1548
1546
1544
1539