Daily Technical Analysis

Market Report 

Market Summary

The ES1 Index (Generic 1st Month S&P 500 E-mini) gained 24bps during yesterday’s session, closing at a record 6966.50. This record close came after an overnight low down over 1% at 6875. This was a massive stick with a high/low range of 6988/6875 (over 1.6%). In fact, the session range essentially engulphed every bar back to Nov 28 (whose high ironically marks our 6920-pivot level). Momentum and trend indicators expanded slightly. Both my Spot VIX and VIX Term Structure signals remain “risk on”. As I wrote previously, “In my opinion, the index needs a quick, hard move back above the 6959 level. I believe this is the more likely outcome for the coming days.” We seem to have gotten that move, as expected, and I continue to see risk into year end as skewed to the upside.📈

Support Levels

• 6920: Near-Term Resistance (Nov 28 – Dec 4)
• 6845: 50dma
• 6730: Previous Support/Resistance
• 6727: 100dma
• 6540: Oct 10 Low (Crucial Support)

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Resistance Levels

• 6959: Nov 12 High
• 7050: Measure Move from Consolidation

Technical Chart

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