Nov
16

S&P Futures Testing the 20-day Moving Average

By on Wednesday, November 16th, 2011 at 12:14 pm

S&P futures traded below its rising 20-day moving average on Tuesday before rebounding to settle above the average. The same scenario is playing out today, as S&P futures traded below 1247 intraday before rebounding back over that level. If December S&Ps can remain above 1247 at today’s close, it would suggest a successful test of the moving average. Historically, this has had bullish implications looking out over the following week. 30 out of 36 occurrences since 2000 (83%) led to a higher S&P close one week later, a significant edge over the 53% random odds.

S&P Futures Low < Rising 20-day Average, Close > Avg Two Days in a Row
07/15/11… S&P futures +2.0% one week later
05/12/11… S&P futures -0.4% one week later
11/19/10… S&P futures -1.0% one week later
11/30/09… S&P futures +0.7% one week later
10/07/09… S&P futures +3.3% one week later
08/19/09… S&P futures +3.2% one week later
05/12/08… S&P futures +1.6% one week later
02/25/08… S&P futures -3.0% one week later
02/15/08… S&P futures +1.6% one week later
05/25/07… S&P futures +1.6% one week later
01/31/07… S&P futures +0.8% one week later
01/23/07… S&P futures +0.1% one week later
09/25/06… S&P futures +0.4% one week later
08/11/06… S&P futures +2.8% one week later
07/25/06… S&P futures +0.2% one week later
04/26/06… S&P futures +0.2% one week later
04/04/06… S&P futures -1.5% one week later
03/14/06… S&P futures -0.0% one week later
12/09/05… S&P futures +0.6% one week later
05/17/05… S&P futures +1.7% one week later
12/09/04… S&P futures +1.2% one week later
06/29/04… S&P futures -1.6% one week later
04/15/04… S&P futures +1.0% one week later
02/26/04… S&P futures +0.9% one week later
08/14/03… S&P futures +1.3% one week later
05/23/03… S&P futures +3.6% one week later
04/10/03… S&P futures +2.5% one week later
04/01/03… S&P futures +2.3% one week later
03/14/03… S&P futures +7.5% one week later
11/20/02… S&P futures +2.7% one week later
11/15/02… S&P futures +2.3% one week later
02/27/02… S&P futures +4.8% one week later
01/02/02… S&P futures +0.0% one week later
12/19/01… S&P futures +0.7% one week later
11/02/01… S&P futures +3.1% one week later
05/14/01… S&P futures +5.1% one week later

2% moves are 13-1, avg gain 2.0%, avg loss 1.3%

An interactive chart of the continuous S&P futures contract along with the 20-day average can be found via this link.

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Disclaimer

Comments, data and trading signals herein are for informational purposes only and are not recommendations to buy or sell. All information presented is believed to be accurate but is not guaranteed.