Stocks Getting a Lift, but Face Resistance

27 oct 2020

Stocks caught a lift off 3376. The S&P is likely to play the levels, since it has been ranging since the beginning of September. Don't expect any significant rallies until long after the election. Watch for resistance at 3427, a level which once provided support. The Kovach OBV has been quite bearish but it does look like it is levelling out. It is also significant that we caught a lift off the 50% Fibonacci level of the most recent range in stocks. The next major level to contend with is the .618 level, which corresponds roughly to 3427. Do not fomo into a trade here.