S&P 500 Week of Dec 6th to Dec 10th Outlook
Recap of last week
First 2 days of the week happened to be the last 2 trading days for the month of November. On that last trading day of the month the market made a stand to close at the October close, effectively neutralized the strong bearish setup made in the beginning of the month to sell towards the red zone below 1150. Once December started, we get a new daily level gap up (a new 7th gap zone) that gap above the yellow zone at 1200 I warned about last week. The market never looked back and tagged November high on Friday close.
Next week outlook
Last week was a trend week that closed at the high, that means it is very likely we will see a higher high next week. The primary target area is 1250 (green zone) and that may take the whole December to get there as trading activities slow down in the holiday season.
If yellow zone at 1220s turns into resistance, the red zone at 1200 will likely be the target zone.