Brean Capital technical analyst Frank Longman released a note this morning that was straight to the point. According to Longman, the “most important trendline in the world may test today.”

The Line

Longman is referring to the support line for the S&P 500 that has been in place since the index’s 2011 lows. Today marks mark the third time the line has been tested since 2011.

In addition to noting the possible test, Longman points out a handful of other technical observations on the S&P 500 chart. He points out the double top that the index recently put in at 2026.

If the 2011 support line is breached, the next possible line of support could be the Fibonacci support level from the October 2014 low at around 1850.

Gartman Weighs In

In Friday’s edition of the Gartman Letter, Dennis Gartman focuses on…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!