Here are my levels for the S&P going into the trading week of Aug 8-12. The S&P continued to consolidate below the 4200 level last week as it finds resistance at the May 31 st pivot. Key levels to watch going forward are the 4000 level to the down side and the 4200 level to the upside. The S&P has not yet made a higher high like the Nasdaq. Below are a few things I am considering going into this week.
• 90 point range last week and closed up only .32%
• Bias has changed from Bearish to Neutral.
• Continues to consolidate below 4200 and May 31st Pivot resistance.
• Above 100SMA and the 9/21/55 EMAs
• S&P currently underperforming the Nasdaq.
• Price has not made a higher high like the Nasdaq.
• Key level to the downside = 4000. Key level to the upside = 4200.
• CPI data drop on Wed will be the most important event of the week
• Potential choppy price action leading into CPI data drop.
WEEKLY EVENTS
Monday Nothing Notable
Tuesday Nothing Notable
Wednesday US CPI & EIA Crude Inventories + OPEC Monthly Report
Thursday US Initial Jobless Claims & US PPI
Friday University of Mich. Sentiment
NOTABLE EARNINGS
Monday GOLD, PLTR, TSN, WTI, ACAD, AIG, APPS, DOCN, GRPN, NVAX, TTWO, UPST,
Tuesday BHC, EMR, HGV, H, NCLH, PLNT, SYY, BE, CELH, COIN, PLUG, PLBY, RBLX, SAIL, TTD, U, VUZI
Wednesday BLDP, FNV, MFC, MQ, MTTR, VZIO, DIS
Thursday BAM, CNQ, HBI, NIO, SIX, ILMN, WPM
Friday
BULLISH NOTES
Continued Bullish Momentum
Above 4100 & 9/21/55 EMAs
200 SMA may act as price magnet
Potential positive reaction to CPI
Potential drop in yields
Potential positive earnings momentum
BEARISH NOTES
Price coming into 4200 & May 31st Pivot resistance
Overbought conditions
Potential Negative reaction to CPI data
Potential Negative earnings reaction
Coming into a zone where shorts will reload
Many market participants expect another leg lower
Bearish momentum if 4000 is broken to down side
• 90 point range last week and closed up only .32%
• Bias has changed from Bearish to Neutral.
• Continues to consolidate below 4200 and May 31st Pivot resistance.
• Above 100SMA and the 9/21/55 EMAs
• S&P currently underperforming the Nasdaq.
• Price has not made a higher high like the Nasdaq.
• Key level to the downside = 4000. Key level to the upside = 4200.
• CPI data drop on Wed will be the most important event of the week
• Potential choppy price action leading into CPI data drop.
WEEKLY EVENTS
Monday Nothing Notable
Tuesday Nothing Notable
Wednesday US CPI & EIA Crude Inventories + OPEC Monthly Report
Thursday US Initial Jobless Claims & US PPI
Friday University of Mich. Sentiment
NOTABLE EARNINGS
Monday GOLD, PLTR, TSN, WTI, ACAD, AIG, APPS, DOCN, GRPN, NVAX, TTWO, UPST,
Tuesday BHC, EMR, HGV, H, NCLH, PLNT, SYY, BE, CELH, COIN, PLUG, PLBY, RBLX, SAIL, TTD, U, VUZI
Wednesday BLDP, FNV, MFC, MQ, MTTR, VZIO, DIS
Thursday BAM, CNQ, HBI, NIO, SIX, ILMN, WPM
Friday
BULLISH NOTES
Continued Bullish Momentum
Above 4100 & 9/21/55 EMAs
200 SMA may act as price magnet
Potential positive reaction to CPI
Potential drop in yields
Potential positive earnings momentum
BEARISH NOTES
Price coming into 4200 & May 31st Pivot resistance
Overbought conditions
Potential Negative reaction to CPI data
Potential Negative earnings reaction
Coming into a zone where shorts will reload
Many market participants expect another leg lower
Bearish momentum if 4000 is broken to down side
Comment:
Positive reaction to the CPI so far. Watching the May 31st pivot at 4202 for a break. If price breaks through next resistance is at the downward trendline.
Comment:
I see the trend line zone as heavy resistance than on the Nasdaq. There is a confluence of the downward trendline, 618 Fib RT and the 200 SMA. All zones that traders will be looking to take profits and/or enter shorts.
Comment:
S&P closed above 4202 yesterday which is bullish. Price is higher this morning. The 618 Fib & 200 SMA remain targets above. Caution is warranted as may people will be trying to short here and we may see profit taking.
Comment:
So far successful re-test of the 4202. A break of yesterday's high could yield a move to 200 sma. Note.. pivot resistance coming in just below the 200 at 4300.
