The DEC13 E-mini S&P 500 is down 12 points today to 1791. We noted yesterday the key barrier of 1807, and this barrier has clearly held up, with markets having a sharp negative reaction downward.
U.S. stocks fell a second day, giving the Standard & Poor’s 500 Index its biggest back-to-back drop in two months, as a congressional budget accord fueled speculation the Federal Reserve could trim stimulus next week.
The stock market could use a healthy correction soon, before prices start rising at an unsustainable pace.
FEB14 gold shot up this morning, trading up $27 to $1,261. $1275 is our next key target and resistance level. Gold now looks like it could have some momentum to the upside, and possibly approach $1,290.