March 4th. Update:
Today, we will look at an update of the S&P 500's next fan line, and its current strength level.

There are many ways to determine resistance levels. When you have multiple resistance levels, there are always one or two very "significant" resistance levels. One of my favorite resistance levels to watch are long term, fan line resistances.

The reason is that they are often major break through levels. It is not untypical for a stock or index to "gap up" over a fan line resistance level, or to have a sharp jump the day it rises above it.

On today's chart, I drew 2007 to 2010 fan line for the S&P as a red dotted line. The fan line's resistance level for today is 1128.40. Because the fan line is down sloping, the resistance level will decrease as time moves. (Next week, it will be a lower number.)

Yesterday's close was at 1118.79, so the S&P 500 is now only 9.61 points away from that formidable resistance. As a percentage move, it is 0.86% away.

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