The markets continued their recovery today which was led by tech as the Nasdaq closed up 0.54% while the S&P and Russell 2000 posted gains of 0.44% and 0.42%, respectively. Bitcoin was very strong today, gaining over 4% and reclaiming $70,000. Even during last night's initial gap down in futures, Bitcoin was rallying which is usually a risk on sign. The VIX however was also higher today as it closed up 1.26% at $24.17. For now the VIX remains in backwardation.
It was a relatively quiet session and volumes were very light. The Nasdaq did not break through any support/resistance levels so nothing changes from the previous daily update. For tomorrow the next resistance level to watch will be at about 22,260 from its prior uptrend (purple). If it can break through this level then its primary uptrend (white) would be the next level to watch at 22,440-22,450. On a pullback, this same primary uptrend will be support at 21,680-21,685. For now that's the only daily support level to watch.
The S&P also did not break through any support/resistance levels today so it doesn't start any new ranges either. The next resistance to watch will be from its prior uptrend (yellow) at 6,710 followed by its primary uptrend (white) at 6,727. On a pullback, its primary uptrend would be the first support to watch at 6,555. If that doesn't hold and there's a larger sell-off then its prior downtrend (purple) would be the next support at about 6,380.
The Russell 2000 also remained in its primary range today so it also does not start any new ranges for tomorrow. It did get rejected at its prior uptrend (purple) again today, just like it did on Thursday. This will be the first key resistance to watch again tomorrow and it'll be at 2,555. If it can break through it this time, then its next uptrend (blue) would be resistance at 2,568. Lastly, its primary uptrend (white) would be resistance at 2,587. On a pullback, its primary uptrend (white) would be the first support to watch and that level will be right around 2,500. After that, its only other support would be from its prior downtrend (yellow) at about 2,442 if we get a larger sell-off.
