Afternoon Index Report 10.18.13

After making new year December contract highs of 1728.50 in the S&P yesterday, the push higher continued last night as it searched for its all-time mini high of 1733.25, topping that price by 1 tic, current high of 1733.50.  It’s still hard for me to believe the strength of this move, but lessons learned along the way tell us not to fight a trend of this nature.  However, some of the studies (tools) are showing an overbought status and the s&p “maybe” ready to peak in the near time future.  For today- holding that current high could be construed as a double top heading into this morning’s open, but i suspect I’ll know pretty much out of the gate what transpires.  Upside looks for first tests of resistance at the upside # price of 1734.70, daily fib of 1736.10, and a solid test of the 1741.50 price.  The downside # price is at 1727.50, which is right below yesterday’s settle of 1727.80, which i believe to be the main focal point that could lead a trend lower.  The daily pivot is always a main target and i will look for solid support if or when initially tested.  The nasdaq continues its beat to the upside.  This future also extended higher last night, which pushed above its daily fib objective of 3319.75, topping out at a current high of 3321.25.  However, take a look at the 3323.00 price if tested early on.  I would expect that price to show huge resistance at first asking.  Use caution, but i do expect this future to settle under that price by the end of the day.  What!!!!!  Other points of interest come in at 3332.50 and target area of 3344.50-3347.50.  I’ll lean on the pivotal price to show early direction.  A move under that price will test its settle of 3301.00, followed by other tests at 3290.25, daily pivot of 3287.00 and the downside # price of 3281.00.  The release of today’s leading indicators due out at 9:00 a.m. will be delayed.  Good trading!!