1258-1261 continues to be an important support level for the S&P.
- Transports are showing signs of major weakness: Outside reversal followed by a bear thrust. A break of swing low at 5018 will increase downside pressure.
Volatility may have made an intermediate cycle low:
- squaring of price range at recent low
- A break through R1 18-19 will give way to a test of R2 22-23
- edging lower towards 77.97 swing low.
- a resolution of the trading congestion may not occur until the Feb3-5th cluster of geometric cycles (90-180-240 calendar days)