Looking at the chart, you can see the S&P 500 is currently facing a large number of resistance levels. Here are the four we're up against right now (shown in the chart below):
- 200-day moving average: 1264.52
- Demand zone now resistance: 1250-1260
- Declining trend channel top: July highs to November highs: currently 1263
- 14-day RSI: 60 (bearish resistance zone): currently 57.89
There are three potential catalysts in the week ahead that could greatly influence the technical picture above. They are:
- Thursday, December 8th: ECB Meeting
- Friday, December 9th: Euro Summit
- Tuesday, December 13th: Federal Reserve Meeting
The market has rallied leading up to these events in the past. The direction of the market over the intermediate term will of course depend on whether monetary and fiscal policy meets or exceeds expectations.
