Yes We Really Are Still Within a Simple Trading Range

Aug 17, 2015: 11:03 AM CST

We begin the new week at the midpoint of our broader trading range rectangle in the S&P 500.

In fact, we’re seeing a short-term Triangle within a larger Rectangle – a deep consolidation.

Let’s update our charts and note these new developments… within the exact same levels.

First, please take a look at LAST Monday’s update “The Thrilling, Non-Stop, Exciting Trading Range of 2015” and note that absolutely nothing has changed.

We’re STILL within the same broader trading range despite a Stick-Save Reversal last Wednesday that triggered an intraday-only Bear Trap.

Other than that, price continues to trade up off the support of the rising 200 day SMA (Simple Moving Average) and bounce above and beneath the Midpoint or Magnet level of 2,095.

Price currently trades into the 2,100 key reference level which is the basis of our planning.

For reference, the upper Resistance Ceiling is near 2,130 and the lower Support Floor is the 2,070 level.

Here’s a tighter zoom of these key pivot (and planning) levels:

The Upper Resistance Ceiling extends from 2,125 to 2,130 as drawn.

The Lower Support Floor is 2,070 exactly.

Finally the Midpoint Magnet remains 2,095.

For easy-planning, look to trade bullishly up toward 2,130 IF buyers push the index above 2,100.

Otherwise, we’re neutral cautious here – awaiting a decision from buyers and sellers – and thus bearish on any movement down away from 2,100 (potentially toward the 2,070 target).

Despite all the news and confusion in the world, these levels have been surprisingly constant in 2015.

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Corey Rosenbloom, CMT
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4 Responses to “Yes We Really Are Still Within a Simple Trading Range”

  1. Downtrending Collapse Market Update and Daily Stock Scan | Afraid to Blog Says:

    […] We have an update THIS Monday of more of the same: “Yes, We’re STILL In the Trading Range.” […]

  2. Downtrending Collapse Market Update and Daily Stock Scan | Margin of Safety Says:

    […] We have an update THIS Monday of more of the same: “Yes, We’re STILL In the Trading Range.” […]

  3. Morkel Says:

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