Today we saw a market that operators found conviction. The problem is that we are awaiting the official results of elections in the U.S. Senate. In addition, we must consider that tomorrow will be the FOMC announcement (Federal Open Market Committee) of the Federal Reserve. Both situations require operators to limit their exposure in the markets, which is why we saw a significant drop in volume.

In the future, we condemn the 1193 while the SPY saw the $ 119.75 again. After a strong level reversal yesterday, we saw Globe electronic session in which buyers were able to defend their turf and an opening at 1189.50 and $ 119.41. Despite seeing a strong push towards resistance, was not sufficiently involved and we must be attentive to what happens tomorrow. As the Federal Reserve’s FOMC, the market expects no change in the rate of interest. However, the language with which to announce the release will be vital to assess what we might see in the future from this institution.

In technical terms, we found a formation that tends to show consolidation prior to a continuation in the trend. The ascending triangle can be observed in the S & P on a graph, and because of their training could bring an appreciation in the area of the 1240 contracts in the medium term. By having a height of about 45 points ($ 4.50 in the SPY) in their training, the objective we get by adding this value to the level that has served as resistance, 1193 ($ 119.75).

However, the pattern would be invalidated if we see a break in 1173 in a close, or if we were not completed prior to the intersection of the lines delimiting, which would cause the figure to lose its strength. If we see a reversal in the markets, we would expect a move down about 45 to 50 points, which would lead to their training base.

Tomorrow sees a market will behave quite emotional because of the magnitude of the announcement of the Federal Reserve. However, the extremes we see will be a good reference for finding significant levels in the near future. Maybe and the announcement is what we need to get out of this range.