The top of the wedge, 1248, held up yesterday. We did tick down on a little more volume than the past two days and formed a bearish engulfing. A break back inside the wedge and look for a retest of the 50 DMA. That being said, I don't think it will happen, but I didn't take home any longs to bet on it either. We should get an idea premarket depending on what happens with bonds on which direction we end the year.
Pivots for S&P for Thursday Dec 29
Also looking at some firearm stocks going into next year with a recent increase in gun sales reported.
RGR has been on fire recently and is pulling back at the top of the recently formed wedge. Look for a break out of the wedge or with Tuesdays hammer and bearish engulfing candle Wednesday we could see a pullback. I would look to see if support is found around the 50 DMA also around the top of the wedge. If it breaks the 50 DMA, the 100 DMA has also been support the last two times it traded down to it.
SWHC is a stock that I have watched but never traded. One thing to note is that it recently had a golden cross. These usually take around 4 weeks to play out, so may be something to keep on the radar on a pullback.