point price

$SPX Stuck in a 9 point range..Which way will it Break?

Posted by Investing Freak on September 27, 2009
Market Analysis / 2 Comments

The S&P 500 index is stuck in a 9 point price box.
1051 is resistance from October 2008.
1042 is support from  the last 3 days and also the 18SMA.

We need to see 2 or more days of market closing either above or below one of these 2 points before there is  any significant breakout or breakdown.
For the moment  we have a setup for almost a Kicker Bullish setup but the 3rd red candle that was put in on Friday doesn’t make this a perfect pattern.
kickercandles
If on Monday we follow the Kicker setup, we might have a move to higher highs (above 1080).
The setup is not exactly a Kicker but it fits the bill very well.  If $SPX closes below 1042 for 2 or more days then next support is 1030 which would be the defining moment of this “Bull Market”.

Here is the attached Daily and Hourly chart  (Click to Enlarge)

spx-92709-box

Look for an update by next weekend if the setup plays out.

-K

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