Just a quick read here for the day, Slight weakness in pre market with the ES about 2.25. The SPY is sitting on 132.50 just about the lows of yesterday. The plan has worked like a charm. The targets from SPX 1250 were 1307 then the 1320′s. Once we were over 1330 yesterday I unloaded most of what I was holding. Very heavy cash here and ready for anything.
Long term resistance of 1338 is just overhead 6 points above yesterdays highs, Still think we will tag it by the end of the week. I would be looking for some digestion or consolidation to get through it next week, but this market is just an absolute freight train. We could just as easily blast through it. A dip to 1307 is the very near future would be a buy in my book.
Copper is concerning me, has been showing signs of weakness, but until it really breaks down for now it is just a caution sign. the JJC chart shows it held the major moving average, but its fighting for dear life.
The market is far from overbought here, the NYMO closed at 42.25 and could easily run to 100+, I am not expecting that, just pointing it out.
Levels for today on the SPY for downside are Yesterdays lows of 132.36 and then the gap fill at 131.86. Major support sits at 131.42. Would be a buyer there today definitely. Upside we have yesterdays highs of 133.16 then the gap fill at 133.95, and onto new 52 week highs of 134.10. The next major resistance on the SPY is 134.69.
I am looking for a sideways kinda day here, lets see what the market has in store for us today, good luck.