Posts by Steve Rushton

Yesterday's action confirms the Short signal with a close below 1879 and the dropping oscillator.

Today we get to see if the Fed can massage the markets again. The squeeze is on and the signal is Short, but anything can happen in manipulated markets and a 'pop' up to 1910 isn't out of the question.

If we break support line S2, and then the 56 day ema (at 1864), then I would expect a sell off to S3, perhaps even S5.

Very close to a Short term Buy Signal yesterday but note that the oscillator is slipping and that this overides the potential Buy Signal. We may still get a 'pop' up to say 1910 but I beleive this is a market ready for a sell off.

The current short term price momentum T structure should end today or next few days depending upon where you start the T from.

As we are right at the end of the recent price momentum T structure, and the oscillator is starting to slip back below the breakout band, today or tomorrow should provide a better short entry.

A subsequent move below support line S2 will confirm the Short signal.

If on the other hand we get a burst higher then we have significant resistance in the 1910 area.

Yesterday's sell off brought us down to the S2 support line, so we might expect a slight bounce here and hold off into expiration day close.

I'm expecting to seee weakness next week and ultimately looking for a move to S3 towards end of May.

Price has acheived its short-term target – GET wave 5 low PTI
Squeeze occurring
CCI sell signal – confirmation required
Oscillator recovered ? and potentially bullish – watch carefully next days to see if confirms the sell signal

Target for next low 1820 – end of May / first week of June

It looks like the recent up move may be over (or nearly over) and we are preparing for a large move as indicated by tightening of the bollinger bands

– double top acheived
– low PTI wave 5 in advanced get – probable double top
– close to end of recent short-term price momentum T structure
– vix at lower bollinger band indicating complacency and cheap put options

Keeping an open mind – wait to see if we get a signal from CCI etc.

Short term Buy Signal yesterday with the break upwards. Looks like a move to say 1915-1920. (19 May)

With the oscillator recovering, it is of course possible that this may be the beginning of an extended upwards move. Initially see if we can get thru the long-term resistance angles R1/R2 at 1930-1940.

If we don't sell off straight away then I expect to see a 2nd peak at around 1900 – 1915 between May 15 – 19 followed by a test of S3 around 1817. May option expiration could certainly keep the S&P's buoyant.

Mixed signals continue with the S&P struggling to maintain a Buy signal and the oscillator indicating weakness in general.