Pure Technical Analysis: S&P 500 And Market Direction
I am going to keep it extremely simple. The last day of 2013 saw the S&P 500 hit a new all time high of 1,849.44. The first day the stock market was open in 2014 saw the markets sell, with the S&P 500 hitting a low of 1,827.74. That range became key to the markets and the future direction. Any close on the S&P 500 below 1,827.74 would be viewed as bearish near term, while any close above 1,849.44 would be looked at as bullish near term.
Today, the S&P 500 is currently sitting below that key pivot low at 1,825.32. Watch the closing print today. Should it close below, look for more selling in the next week. The first major support on the S&P 500 is 1,775.00.