The Next Market Move

The market is essentially flat as we enter the lunchtime hour. Not only is there no direction today, but when analyzing the chart of the S&P 500 it is clear the index is in the middle of a trading range. The green lines on the chart show the support near 1120 and resistance between 1230 and 1250. The resistance area is the old support level.

The big question is where does the market go next and unfortunately the chart does not give any clear indication. What it does tell us is that for the near-term we should expect stocks to continue to trade within the current range.

Investors should hold steady today and I will revisit the action in the coming days to try and shed some light on the next trend. Right now the market is trendless.