Breathing Easier

The S&P 500's closing level on Tuesday has erased short-term concerns for a retest of the price range of Sept. 21

By Paul Cherney

Okay, okay. "Uncle".

The S&P 500's close above the 1110.61 level Tuesday, Nov. 6, has erased my short-term concerns, which I noted in earlier columns, for a retest of the price range of Sept. 21. The index has put in a considerable shelf of support in the 1110-1052 aree and this should hold when tested.

The S&P 500 has immediate support 1110-1100. The index has entered an area of resistance 1114-1135.52, which could see prices stall for a day or two. Resistance becomes thick with prints of 1123 and higher.

Major resistance (a brick wall, based on end-of-day data) for the S&P 500 is 1153-1199.

The Nasdaq has a shelf of resistance 1831-1851. This is within a larger layer of resistance which is 1780-1943. Immediate support is 1807-1781, then 1759-1726.

Cherney is market analyst for Standard & Poor's

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