We broke through the Resistance level at 1096 to 1098.75 Trading Level (see Chart below) but the volume wasn’t there. The S&P climbed a little higher before deciding to pull back. If the news and Earnings Season continue to highlight bad news then the Market will act accordingly and head down to my 1063.75 Trading Point (in fact it go all the way down to the 1061.50 Trading Level. Let’s analyze this latest move:

1. The Market is moving higher on lower volume
2. There is a Trading Point at 1063.75 (for the eMini)
3. RSI (Relative Strength Indicator) appears to be confirming Price action
4. Volume is still weak on this up-move. A big sign of caution. Watch for a Pull back

Here’s my Intermediate term Trading Levels (same as last three weeks):

1127.75
1098.75 Looks like we are getting Resistance at this Trading Level
1081.00 (Important Level)
1066.50 (Important Level)
1052.25 (Important Level)
1034.25
1006.00 (Support)

Here are my Shorter term Trading Levels (same as last week – the Market is Trading to these Levels):

1096.25
1074.25
1061.50 (Important Level) The Market closed on Monday at this Level. And the Market low on Wednesday stopped at this Level.
1050.75 (Important Level)The Market low on Tuesday reversed at this Level.
1039.75 (Important Level)
1026.50

And here are my updated Trading Points:

1198.50
1156.25
1063.75 NEW – Needs to be HIT
1024.00 Possible Trading Point – However very minor. Will take a big catalyst to move back down to this Trading Point

Click on image to enlarge!

Have a Profitable Day Trading!

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