• SP 500 Market Analysis 6-19-13

Pre-market update (updated 9am eastern):

  • European markets are trading 0.3% lower. 
  • Asian markets traded 0.6% higher.
  • US futures are trading at break-even

Economic reports due out (all times are eastern): MBA Purchase Applications (7am), EIA Petroleum Status Report (10:30am), FOMC Meeting Announcement (2pm), FOMC Forecasts (2pm), Chairman Press Conference

Technical Outlook (SPX):

  • Huge day for the bulls on SPX, as the broke out of nearly three weeks of consolidation and to the upside after breaking through the stubborn 20-day moving average and pushing above 1648. 
  • Possibility that the SPX runs into some price level resistance at 1653. 
  • I’d expect that at this point we are going to make at least a run to test 1668 in the near future and possibly new market highs. 
  • The upper Bollinger Band could provide some resistance at 1667ish. 
  • VIX hasn’t moved all that much to the downside, after considering the extent of the upside move in the last 4 days. Keep an eye on that. 
  • Taking out the highs from 6/10 yesterday was imperative for the bulls to instill confidence in this market. 
  • Short-term double bottom was confirmed yesterday. 
  • 1623 represents the rising trend-line in the markets off of the market’s lows. 
  • 30-minute chart represents a series of higher-highs and higher-lows over the past three days. 
  • Volume was below average yesterday. 
  • Key price support rests at 1601. 
  • Markets don’t care about the economy. That is not what is driving them. The markets only care about what the Fed is doing to keep equities propped up. 

My Opinions & Trades:

Chart for SPX:

SP 500 Market Analysis 6-19-13

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