S&P 500 Index Chart Update

By Dominic Cimino of Preferred Planning Concepts
January 25, 2013

 Print Page    Email Article    

Bookmark and Share

Advisor Perspectives welcomes guest contributions. The views presented here do not necessarily represent those of Advisor Perspectives.


Here is an update of my technical parameters for the S&P 500 Index chart. Since my last update of this chart, the S&P 500 Index has moved above the cyclical recovery rally high of 1474.51. This can be seen in the close-up chart below. The more upper of two horizontal red lines represents the 1475.00 area, which for the moment has been left behind as the market rallies. The only major resistance left is the 1576.00 all-time high, which is represented by the thick white horizontal line.

 

 

The index is trending higher in three bullish trend channels of different degree. The trend channel of minor-minor degree is shown as the upward sloping parallel white lines, and represents the short term trend of the market. A more significant minor channel is shown as the parallel yellow lines and represents the index's intermediate term trend, while the major trend channel is depicted by the thick red parallel lines and defines the longer term trend for the index.

The next chart shows how these three trend channels fit into the index's larger picture and showcases the sideways nature of the index during this secular bear market. The index's support rests at the various trend channel support lines shown in the first chart, as well as at the key 1350.00 support area depicted by the horizontal blue line.

 

 

In conclusion, as I have previously mentioned, even as some suggest a disparity between the market and the economy, the technical parameters of the S&P 500 are very transparent.


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.

Important Disclosures

Please be aware that this is not a recommendation to purchase or sell any security. This is not a recommendation for any individual or institution to alter their portfolio holdings. Every individual or institution has its own risk tolerance and investment objectives and perspectives.

Any above opinions of the author should be viewed as such. These opinions in no way represent any type of guarantee. Realize that if you choose to invest in securities, investing in securities carries with it uncertainty and the risk of loss of principal. Lost investment opportunity is also a possibility. Investing in securities carries no guarantees.

Past performance is no guarantee of future results. The price movements within capital markets cannot be guaranteed and always remain uncertain. The above opinions are meant to stimulate thought and should be viewed as such. You are encouraged to discuss these views with your representatives if you have any questions or concerns.

Any indices mentioned are unmanaged and cannot be invested in directly.

It must here be mentioned that technical analysis offers no guarantees of future price movements. Technical analysis represents an observation of past performance and trend, and past performance and trend are no guarantee of future performance, price or trend. The price movements within capital markets cannot be guaranteed and always remain uncertain.

Neither Cambridge Investment Research nor Preferred Planning Concepts is responsible for the accuracy of content provided by third parties. All material presented herein is believed to be reliable but we cannot attest to its accuracy.

All charts presented were made available by eSignal, a charting service available to individuals or professionals. Anyone interested in exploring the potentials of eSignal should give us a call.

 

 

 

 

Print Page    Email Article
 
Remember, if you have a question or comment, send it to .
Website by the Boston Web Company