Rise and Dip with 7810 resistance

Decent day for the bulls yesterday with the 7715 support area holding well for a push up to the 7790 resistance area once again. Having dropped off that overnight we are now just on 2h support to start with at 7755 so a modest bounce up from here to test the 7813 resistance area would fit quite well, before a bit of bear Tuesday kicks in and we drop off again.

The S&P500 has been bearish since the rise to 4065 yesterday (just missed the 4068 unfortunately) and could well stick its nose below 4000 to the cluster of supports at the 3990 area. If it did so I would like to see this area hold for a push up to the 4020 or higher level again as the bulls will certainly be keen to keep the price above the 4000 level and also to close out January strongly, especially as it remains (currently!) on track for its biggest January gain since 2019. 

Above the 7818 key fib resistance (and R1 at 7813) then the bulls would be looking toward the 7894 R3 level ultimately though that feels a big ask on the last day of the month, and also falling on a bear Tuesday. The top of the 10d Raff channel is also here. 

There can also be profit taking at month end to lock in the gains so I expect any rally today to be sold. Prior to that resistance level then keep an eye on 7836 as we have daily resistance here, and just below R2 at 7844. 

Support wise, below the 7755 level then 7714 is the key fib and 7712 is daily support. As such, if we dropped to here then I would like to see a bounce. A break of the 7700 level though and 7678 is next up. As with the S&P the bulls will be keen to end the month strongly despite the chance of rallies being sold. A long at the 7715 area once again (as per yesterday) would fit well. 

New month money tomorrow will also be looking to get in at lower prices so a drop down for that would make sense. All the 2h charts are currently bearish, with the bears trying to gain control, though the Raff channels are still heading up on all the markets I watch apart from the 10d on the FTSE which is heading down, and has support at 7680 - aligning with S2. If we did get that then a long here's also worth a go. 

So looking for a small rise then a drop down to retest yesterdays lows as the main play today. 

Good luck!