The indices continue to be challenged by resistance. It's do or die time for the bulls.
S&P-500 Large Cap Index
SPX gained 3pts (0.2%), today. The index has traded mostly within a tight range of 15pts, for the past five sessions, as resistance from the October highs near 1285 and from the 60-line on RSI is tested. The bulls will take heart from the fact that the upper Bollinger band continues to rise; the upper band sits at 1298 (a good 18pts above today's closing level), at the moment, and is rising at the rate of 2-3pts per day.
If resistance at ~1285 can be taken out, a surge towards the intermediate/major trend resistance in the 1345-1365 range will take place. In the meantime, watch out for any dip back below the 1265-mark, which needs to serve as support in order for the bull case to be bolstered.
Dow Jones Industrial Average
INDU has also traded, for the most part, within a very narrow range of around 100pts or so, over the past five sessions. The index close with a gain of 33pts (0.3%), today. As long as the index is trading above the recently broken resistance level at 12250, the bulls will be in the driver's seat. However, resistance from the 60-line on RSI persists and it is something that will concern the bulls, over the near term.
Nasdaq-100 Index
NDX lost 6pts (0.2%), today. Recent developments, which include a breaking of resistance at 2340, a surpassing of the 60-line on RSI and a positive 0-line crossover on MACD, bode well for the bulls. The fact that the upper Bollinger band is rising as well means that as long as the index can stay above 2340, it should soon be knocking on the door of higher level resistance (at 2400) derived from the October/November peak.
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« Market Update: Jan 9, '12 »
The indices continue to be challenged by resistance. It's do or die time for the bulls.
S&P-500 Large Cap Index
SPX gained 3pts (0.2%), today. The index has traded mostly within a tight range of 15pts, for the past five sessions, as resistance from the October highs near 1285 and from the 60-line on RSI is tested. The bulls will take heart from the fact that the upper Bollinger band continues to rise; the upper band sits at 1298 (a good 18pts above today's closing level), at the moment, and is rising at the rate of 2-3pts per day.
If resistance at ~1285 can be taken out, a surge towards the intermediate/major trend resistance in the 1345-1365 range will take place. In the meantime, watch out for any dip back below the 1265-mark, which needs to serve as support in order for the bull case to be bolstered.
Dow Jones Industrial Average
INDU has also traded, for the most part, within a very narrow range of around 100pts or so, over the past five sessions. The index close with a gain of 33pts (0.3%), today. As long as the index is trading above the recently broken resistance level at 12250, the bulls will be in the driver's seat. However, resistance from the 60-line on RSI persists and it is something that will concern the bulls, over the near term.
Nasdaq-100 Index
NDX lost 6pts (0.2%), today. Recent developments, which include a breaking of resistance at 2340, a surpassing of the 60-line on RSI and a positive 0-line crossover on MACD, bode well for the bulls. The fact that the upper Bollinger band is rising as well means that as long as the index can stay above 2340, it should soon be knocking on the door of higher level resistance (at 2400) derived from the October/November peak.
FREE Stock Picks
For the next several months, we will be providing FREE stock picks and options picks at our public listing at stockcharts.com. Please check out the same and also show us your support by voting for us (Click the "Vote Best Public Chart List" at the bottom right of page) - http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID2295600