S&P 500 Monthly Review January 2014

The S&P 500 Monthly candle opened at 1845  and closed at 1782. On further weakness, 1695 may be tested, while a rally may retest highs near 1850. The monthly outlook remains cautiously bullish.

Although on a monthly chart, the outlook clearly remains bullish, the market has closed beneath the opening range for the S&P 500 cash, which is the following:

  • Pivot High – 1843
  • Pivot Low – 1832
  • Opening Range High – 1851
  • Opening Range Low – 1815

As long as the market remains below 1815, a sell off for the first half of the year remains a strong possibility.

 

S&P 500 Weekly January 20 – 24

The S&P 500 weekly is showing the first sell off for the year. The weekly close is also below the 6 month OR low, near 1815. If weakness continues to show, 1773 or lower could be tested, while a rally could retest 1823 or higher.

The weekly outlook is neutral to bullish.