A Friday Look at the S&P500

I don't think we need to complicate this one. My two key levels are 1260 and 1295:

1260 marked important support last March and June. When that level broke in August, it was devastating for the market. Until recently, the S&P500 kept failing at every attempt to recapture 1260 for more than a day or two.

1295 was an important low last February, April and again in July. It became resistance going into this Halloween before rolling over, and we're having trouble with it once again.

For now, I think that any sell-off should find support around 1260, and like I said last week, as long as we're above it, the path of least resistance is higher.

On a breakout above 1295, I think we see 1350-1360 - but we're not there yet.

A break below 1260 and I would have to reevaluate my position here.

Also See: Polarity from October 31st

Tags: $SPY $SPX $ES_F