trading date: February 03, 2017 –
There are all of the ingredients for a breakout and it didn’t happen. The S&P 500 has been trapped in an extremely tight trading range for two months and this is a low probability environment.
Fed officials said that employment conditions are improving and that growth is moderate. Economic risks are balanced and the decision to keep rates unchanged was unanimous.
The reaction was muted and stocks barely moved.
Resistance will lie at yesterday’s high at $228.10, followed by $228.59 and then $229.59.
Support will lie at yesteray’s low at $226.82, followed by $226.32 and then $225.41.