I think we test and probably break 2200. The drop likely bottoms out somewhere between 2150 and 1805 SPX.
the support for Wednesday Dec 26 is 2320 to 2325 area. not 2200 how does the OP come up with 2200 as strong. the support is 2325 area maybe 2300 on a dip. but I dont see any support at 2200. what support is at 2200? simply the statement that there is strong support at 2200 is meaningless. what support. if it is so strong how do you come up with that number ? what I see is a very wide support area from 2200 to 2000. that is giantic 200 points or $10,000 on each contract of the ES. that is too much for any trader. I give a 5 point area. not 200 points. besides the strong point would be the bottom at 2000 more than the top at 2200. but I dont know what the OP used for his genius call. could 2200 work out. of course anything is possible. but it is not a super level of support. it is the beginning of a possible support level that extends all the way down to 2000 some 200 points. meantime for wednesday the support looks good for 2320 to 2325. the support for Thursday and Friday will be lower as expected in a bear market. I have a support level at 2200 one day in April 2019. but by then the market will swing wildly all over the place having new supports each day. the bear market in gold has lasted more than 7 years from 2011 to end of 2018 and still in place. I hope the bear market in stocks does not last too long. But right now we are just starting the stock market bear market. SP500 entered the bear market just Monday yesterday. I dont expect it to end tomorrow Wednesday. with today a vacation for Christmas. that would be a fast short 1 day bear market. In the market anything and everything is possible. there is no absolute. what we have is probabilities at best.
I see some support at 2400, but since it was breached intraday this week, not sure how strong that is anymore. There is some support around 2325 that corresponds to March to April 2017 lows. 2193 looks about as strong as the 2325 area. It was tested in Aug 2016 and November 2016. 2130 looks like a strong support level. Stronger than those other levels. It served as resistance for all of 2015 and the first half of 2016. Then it was tested as support after the 2016 election. If we break through that, we could go a lot lower.
No worries...this bull sees a strong market going into 2019 Wharton's Jeremy Siegel says stocks will return up to 15%: 'We could have quite a good year' Kate Rooney | @Kr00ney Published 11:43 AM ET Wed, 2 Jan 2019Updated 12:22 PM ET Wed, 2 Jan 2019CNBC.com Finance professor Jeremy Siegel says stocks could rally between 5 and 15 percent in the new year. He says he is not worried about the Fed raising interest rates, that a recession is not in the cards, and based on current valuations this is a "cheap market." "There's been a wobble here and that is what the market feels," Siegel says. "We'll be wobbling to a slowdown but not a recession." Despite the market's stumble into the new year, Wharton's Jeremy Siegel is predicting solid gains for stocks by the end of 2019. The Wharton School finance professor is predicting an uptick of between 5 and 15 percent and "quite a good year" for equity markets. "We went from a rosy view to now, 'Oh my God, there's going to be a recession,'" Siegel told CNBC's "Squawk on the Street" on Wednesday. "The truth will be somewhere in between, and that leaves the stock market very attractive now."
Another blowhard analyst with no skin in the game with his OWN money. Rally 5% to 15% from where? Does he mean from the Dec. 31st close of 2018? What if the market drops another 20% right now, and rallies back 100% from THAT 20% drop by Dec 21st 2019? So yay, 2019 rallied 100% from it's Jan 2nd open. Banner year! WHOOP! But 2018 is a 20% drop year and 2019 is a breakeven year. Then we are still at 20% down over two years. I hate these guys.
One of these days a deal will be announced and the market will be up 10% and blow shorts out of the water again.