Daily Technical Analysis

Market Report 

Market Summary

The ES1 Index (Generic 1st Month S&P 500 E-mini) lost 34bps yesterday, closing at 6913. On the session, the index faded our 6959-resistance level (Nov 12 and Dec 5 highs), broke and closed below our previously highlighted near-term support level at 6920 and tested the 10dma (ref 6890) with a low of 6893. Momentum and trend indicators faded. Both my Spot VIX and VIX Term Structure signals remain “risk on”. I continue to see two main themes as we head into the end of the year; unusually high price volatility and risk skewed to the upside. I would remain focused on price action around the 6959 and 6920 levels. 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. The 6920 level needs to be re-taken and held.📈

Support Levels

• 6920: Near-Term Resistance (Nov 28 – Dec 4)
• 6836: 50dma
• 6730: Previous Support/Resistance
• 6712: 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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