Capitalogix

Is the S&P 500 Index About to Flash a Major Buy Signal?

The S&P 500 Index is flirting with a move above a key resistance zone. 

This chart shows the Index for the past year.  Note that Price is sitting just under major overhead resistance (both horizontal and from the downward sloping trend line).

A move higher here, would flash a buy signal that could trigger a lot of buying.

 

In addition, It seems that each time that stochastics and RSI hit 90 and 60, respectively, the bulls have recently run into trouble extending the rally.  Currently, that's where both of those momentum oscillators sit.  Add to that the negative divergence in MACD and weak buying volume ... In other words, many secondary indicators hint at the burden faced in moving higher. 

Nonetheless, a sustained move above these levels would give Bulls fresh fuel.  With the strong start to an election year, many traders are planning what to do during the next move higher.

As We Enter 2012, We Stand Together at a Financial Crossroad.

As we enter 2012, we stand together at a financial crossroad.

America is the wealthiest nation on earth. Yet, the majority of American Families are failing to manage their own personal finances. More citizens (since the Great Depression) are in debt, default, or financial despair.

Americans overspend. Undersave. Overborrow. Most are undereducated about managing their personal finances. Our future generations will suffer today’s mismanagement. Statistics are alarming. The consequences are grim.

Here is a video that lays-it-out simply and quickly.

 

 

 

 

Responsible management of our personal finances is the foundation to a healthy national economy. The better our citizens effectively manage their personal savings, expense budgeting and financial planning, the stronger we grow as a culture, and as a country.

Learn more about the Financial Truth campaign, download the PDF.

 

Here Are Some Interesting Links for Your Start of the Year Reading

Happy New Year!

Here are some of the posts that caught my eye.

Hope you find something interesting.

Lighter Links:

• 11 Best Business Books of 2011. (ToddSattersten)
• Bright Ideas - Biggest Innovations of 2011.  (WSJ)
• The 8 Wackiest Inventions of 2011. (TheWeek)
• The Pen Is Mightier Than the Phone: A Case for Writing Things Out. (FastCompany)
• Inventor of Microsoft's Spam Filter Out to Kill HIV. How Spam and HIV present strangely similar challenges. (Newser)

 

Trading Links:

• Why Poker Is Better Than Business School. (Forbes)
• Goldman: "Some Lessons from the Past Four Years". (ZeroHedge)
• Signs Point to Economy’s Rise -- But Experts See a False Dawn. (NYTimes)
• Fund Flows Hit Another Wall of European Worry. (InstitutionalAssetManager)
• The Next Billion Dollar Wireless Industry Has Officially Launched. (BusinessInsider)