13 February 2019 (8:53 am EST)
A few weeks ago, we were watching support levels in U.S. stock markets to see if the yearly range will stop these markets from starting a new downtrend.
Now it is time to watch resistance levels as major indexes reach their “resistance zone.”
On monthly charts, you can see that major indexes are range bound within previous two months’ high and low levels. These indexes are now very close to their opening levels of December 2018, which can act as a hurdle.
For S&P 500, this zone is between 2,800- 28,30. Dow Jones has this resistance zone between 25,800- 26,150 levels.
U.S. stock markets are trading within an yearly range that was created last year and such trends are highly volatile. Day traders should keep this fact in mind and be ready for short duration trading and quick trade -exits.
Intraday pivot levels (given on our Pivot Trading page) can indicate this session’s trading range in major indexes. These levels are:
- Pivot Levels for Dow Jones
- Pivot Levels for Nasdaq 100
- Pivot Levels for Russell 2000
- Pivot Levels for S& P 500
Expect a choppy intraday trend in U.S. stock markets today, where major indexes could struggle to continue with their previous rally, in spite of a positive opening.
Day traders should pay attention to support and resistance levels and trade within those levels with the short term trend.