By Andrew Nyquist
The S&P 500 continues to frustrate participants on both sides of the investing line, lazily hanging around levels like a dog (i.e. 1280ish, now 1290ish?) before pushing higher. It makes longs fret and shorts anticipate. This sort of action also reflects uncertainty in the marketplace and requires patience, as well as a bit of technical color.
Currently, the cash index (SPX) is on bar 7 (of 9) of a daily DeMark sell setup. If the setup continues, the SPX will require a high above yesterdays/todays high, tomorrow or Friday. But there is more… DeMark, that is. There is also a lingering 13 daily sell signal that is awaiting a bearish price flip for confirmation. Either way, both indicators are near-term bearish and warrant caution. If dates align, the market may be looking at a near-term top early next week. Turnaround Tuesday anyone?
S&P 500 updated annotated daily stock chart with technical analysis overlay as of 01-11-12. Price Support and Resistance Levels with Trendlines and Demark analysis.
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No positions in any of the securities mentioned at time of publication.
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