S&P 500 at Critical Level

November 15th, 2012

by Dominic Cimino

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The S&P 500 Index is at a critical juncture for intermediate term analysis. The chart below shows the importance of the 1350 support area, indicated by the blue line. Additionally, the bullish red trend-line also offers support at present levels.

My past observations have shown that unless something major is unfolding with regard to market fundamentals, a market will generally find some support in an area of this significance when that support is tested for the first time. On the other hand, if a market blows right through a support area such as this, something bigger is unfolding.

With all the negative potentials (e.g. fiscal cliff, European sovereign debt crisis, China's lack of transparency, etc.) present during this unprecedented era, the 1350 level in the S&P 500 should be watched closely.

Dominic Cimino

Registered Representative, Securities offered through Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Investment Advisor Representative, Cambridge Investment Research Advisors, Inc., a Registered Investment Advisor. Preferred planning concepts, LLC & Cambridge are not affiliated.


© 2012, Dominic Cimino of Preferred Planning Concepts, LLC (You can explore the services offered by Preferred Planning Concepts by viewing us on our website at www.ppcplanning.com) Any redistribution, reprinting, or reference to this chart or content is allowed so long as reference to the author and source is acknowledged.

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