SPX made the second day of a daily upper band ride on Friday, and might do a third today. Until demonstrated otherwise though I’m leaning towards seeing a decent retracement in the near future. Short term rising channel support is in the 2124-8 area today, and if we should then see a retracement to channel support, that is currently just under the daily middle band in the 2085-90 area. SPX daily chart:
If we do see some rejection in the 2124-8 area, there is still significant support at the 50 hour MA, which closed Friday at 2103.5. SPX 60min chart:
I think GC is on the way back to retest 1142, and very possibly make a new bear market low after that. I’m looking for a hit of declining resistance in the 1187-9 area this morning and, as long as GC doesn’t break over 1190, that should be a very nice short entry range. GC 60min chart:
I like a retrace here, but may not get it. If I don’t then I’d note that the weekly upper band is now at 2136 and is the next decent resistance on a break over both the daily upper band and rising channel resistance.
