Sp'weekly, 2yr
'You shall NOT pass!'
Note the 10MA of 1386, which will be the primary zone of resistance, and it is right in the target zone that I keep highlighting on the 60min cycle. Also the daily 10MA is 1382 (and rolling over)..so the bulls face SEVERE resistance in the 1380/90 zone.
I do not see the market as able to break above this, and if that is the case next week, then the big 1340 level will break..then 1300..and a move to probably at least 1270/50 - and that would likely occur before the end of the month. Also note how the 1270 level is a pretty key level (its also near the daily 200 day MA) - and right now, even the lower bollinger band is also at that level. Whether we can break into the 1100s...that would seem only possible in June/July.
*Arguably, 'if' we can break into the 1240s, at ANY point, that almost guarentees a further move to at least 1150..and probably 1100/25 (the lower channel line on the monthly cycle).
--
With the VIX falling today..the index option Puts sure are getting cheap again. By the end of May...those same puts may be somewhat more pricey ;)
Its something to consider. In the meantime..I'm just watching.