SPX500 Target – SPY has broken to new highs. 307.50 is targeted. Possible rejection if that level is reached but acceptance (time) there would be a further bullish indication.

SPY found Support at 272.49, the major poc. This can be a powerful pattern. The 18mn VAH is now being probed again. Acceptance (time) at this level would be bullish.

SPY was rejected at the VAH (see last week’s comments on graphic) and declined from there to briefly test the major Support at 272.49. Price below this level would be a weak location in the LT.

SPY has reached the 18mn Value Area High at 281. Price will often be rejected at a major VAH. This hasn’t happened yet. Acceptance (time) at this level would be a bullish indication. In any case, as long as SPY holds above 272.49 it is in a strong location.

Following a rejected test of the 6820 poc in late Jan the 18mn controlling price migrated to 7037. This is now First Level Support. As long as chart holds this level it is in a strong position.

SPY Resistance at 271.70. “If” price can print time above this level it would put the chart in a stronger position.

If SPY is printing below 271.70, the 18mn poc. It is in a weak position.

USO has reached the 11.41 Major Resistance today. Oil moving into a stronger position would be a positive for stocks. Why? See chart below.