SP 500
The S&P 500 broke higher during the course of the session on Friday, breaking above the 1920 level. It looks as if the market is trying to retire at this point, but I recognize that there is a lot of resistance of the 1950 handle. Ultimately, this market will more than likely break above that level, but in the meantime we may very well get a pullback in order to try to build up the momentum necessary to do so. I look at pullbacks and show signs of supportive candles as buying opportunities, and I will get a move above the 1950 level as a buying opportunity. Given enough time, this market should then reach towards the 2000 level, and then perhaps even higher than that. I have noticed whatsoever in shorting the S&P 500 as it looks as if it has found a fairly strong supportive area below.
NASDAQ 100
The NASDAQ 100 rose during the course of the day, using the 4150 level as a bit of a support level. This is a market that looks as if it is ready to continue going higher, but I recognize there is a lot to work through above, especially near the 4375 handle. I believe the pullbacks will be supported in this market as well, as it looks like most stock markets around the world are trying to find their footing at this point. Given enough time it is very likely that the buyers will eventually take control of a market that has been very be down, but certainly seems to be resilient somewhere around the 4100 level.
I believe the pullbacks will find support all the way down to the 4000 level, so given enough time it’s likely that the trend will return to the upside as a lot of people are undoubtedly finding value at this point.
