{"id":16379,"date":"2025-03-29T12:03:25","date_gmt":"2025-03-29T12:03:25","guid":{"rendered":"https:\/\/businesstriumphs.com\/index.php\/2025\/03\/29\/sp-500-dives-after-failed-test-of-price-resistance-bears-are-in-control\/"},"modified":"2025-03-29T12:03:25","modified_gmt":"2025-03-29T12:03:25","slug":"sp-500-dives-after-failed-test-of-price-resistance-bears-are-in-control","status":"publish","type":"post","link":"https:\/\/businesstriumphs.com\/index.php\/2025\/03\/29\/sp-500-dives-after-failed-test-of-price-resistance-bears-are-in-control\/","title":{"rendered":"S&P 500 Dives After Failed Test of Price Resistance; Bears Are in Control"},"content":{"rendered":"
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The key resistance level I\u2019ve been watching on the S&P 500 hasn\u2019t wavered. It\u2019s 5782. The bulls had a real chance this past week to clear this important hurdle and they failed. Badly. If this was a heavyweight fight, the ref would have called it after the first round. It simply wasn\u2019t close. Resistance failed, rotation turned bearish, volatility again expanded, and the bears are celebrating another short-term victory.<\/p>\n

Check out this S&P 500 chart:<\/p>\n

I\u2019ve written about this to EarningsBeats.com members. I posted this exact chart in my StockCharts.com article a few days ago. I\u2019ve discussed it on my YouTube shows. 5782 is THE key short-term price resistance and you can see above that the S&P 500 literally did an \u201cabout face\u201d as soon as it touched this resistance. Sellers were lined up. Now that we\u2019ve failed at 5782, it only makes this resistance level that much more important on any future rallies.<\/p>\n

The serious technical damage occurred over the past 3 days as consumer discretionary stocks have been absolutely TROUNCED, while consumer staples hangs near its recent highs. If you recall, it was this HUGE disparity in consumer stocks on February 21st that triggered the massive selling episode. Now here we are again with consumer staples stocks (XLP) outperforming discretionary (XLY) by a mile. Check out this chart:<\/p>\n<\/p>\n

Doesn\u2019t the action in consumer stocks the past 3 days exactly mirror the action we saw in the 2nd half of February and into the first week of March? Folks, this isn\u2019t good.<\/p>\n

This is just the tip of the iceberg.<\/p>\n

Bear Market Ahead?<\/h2>\n

The S&P 500, from its recent all-time high to its subsequent low, fell 10.4%, which marks correction territory. The rally we saw off the March 13th low was likely due to oversold conditions, along with March options expiration. On Tuesday, March 18th, we discussed with our EB.com members that odds favored a short-term rally, based on max pain and we laid out key resistance from 5670 to 5782, with the 20-day EMA falling in the middle of this price range. Once we failed at 5782, it was very important to gauge the nature of any new selloff. That\u2019s what I\u2019ve been evaluating this week and it\u2019s not pretty. As you can see in the chart above, money has once again started rotating into the XLP and out of the XLY. This is one of the most important intermarket relationships and it\u2019s screaming BEARISH ACTION AHEAD!<\/p>\n

It\u2019s only one signal, however. I announced a few days ago that we\u2019d be hosting a FREE webinar on Saturday morning, March 29th, at 10:00am ET. I plan to discuss several signals that are pointing to exactly what we saw on Friday \u2013 more selling. To get a better handle on current market conditions and where we\u2019re heading, I\u2019d encourage you to join me Saturday morning by REGISTERING HERE<\/a>. If you can\u2019t make the live webinar, we\u2019ll still send out the recorded video to all who register, so ACT NOW!<\/p>\n

And here\u2019s a little secret. Shhhhhhh! Market makers are playing some serious games manipulating some of the biggest stocks. I\u2019ll talk a bit about how we can take advantage of that Saturday morning. Hope to see you there!<\/p>\n

Happy trading!<\/p>\n

Tom<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The key resistance level I\u2019ve been watching on the S&P 500 hasn\u2019t wavered. It\u2019s 5782. The bulls had a real chance this past week to clear this important hurdle and they failed. Badly. If this was a heavyweight fight, the ref would have called it after the first round. It simply wasn\u2019t close. Resistance failed, […]<\/p>\n","protected":false},"author":0,"featured_media":16380,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-16379","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock"],"_links":{"self":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/16379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/comments?post=16379"}],"version-history":[{"count":0,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/16379\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media\/16380"}],"wp:attachment":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media?parent=16379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/categories?post=16379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/tags?post=16379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}