A navigation system for trading the S&P500 index
A few more days of strength? Watch the action should the market continue up and meet the mid-point – in 1920s towards the end of the first arm of the split centred T structure, 23-14 oct.
Above there we have the 55EMA to contend with in the 1950s – probably strong resistance now.
No CommentsA S/T Buy Signal at 1884, which managed to hold into Friday's close depite the afternoon dip.
T volume oscillator provides a Buy Signal as well, indicating short term strength into the 23rd october, and additionally into mid november.
No CommentsLooks like we get a expiration short covering rally. Short term Buy Signal at 1884 – easily within reach today – especially with nice comments from the FED.
If we get above the 200MA at 1905, then more buyers will come in.
Beware if failure occurs below 1875 as that would be a continuation short signal.
No Commentsok looks like we had a pre-expiration panic with loads of delta hedging causing a flush.
Nice recovery, but futures are seriously negative again today. A retest of the 1830s perhaps.
Notice those 70 day pulse projections are forcing the market down. It looks like we may need to wait til end of the month before stabilisation can occur.
Looks like we have a double bottom in vol oscillator, which may mean that things are stabilising under the surface. If correct then a potential recovery into mid November.
No CommentsRather an ominous failure at 1900 – previous support becomes resistance.
Potential target now the MOB at 1830-40.
No CommentsSo we breach the 200MA, as afternoon trade repeatedly collapses.
Trade now favours the short side until the 200MA is recovered.
We will need to see strength into a close to confirm a turnaround.
However, we did hit S3, and this has closed the ellipse (august low-september high).
No CommentsSo we finally arrived at the 200 ma. And we have now penetrated my gray channel to the downside.
There may not be much more downside this week as these levels and the ellipse tool suggest strong support in the 1880 area. That and the potential for profit-taking from significant bearish put positions on the indexes.
However the market is now vulnerable to further declines.
No CommentsThere is a classic chart pattern and a rare one at that called “railroad tracks.” That pattern describes the action in the indices the last two days. Railroad tracks point to distribution, i.e., professional selling. Because they often occur near a top, the pattern is a sell signal. (Mish Schneider)
Certainly ugly. Next point of possible return is the 1905-1910 level on the Gann line from the Feb low. Also the 200ma.
A steep decline, waterfall, may well be required. The MOB indicates possible turns today and a secondary one on 23 Oct.
Perhaps we bounce there today and try to recover into expiration next week.
No CommentsOK, so you get a Buy Signal on monday – you sell.
You get a sell signal on tuesday – you buy.
You get a buy signal on wednesday – you sell.
Notice the magnitude is getting larger – remember the megaphone comments on Sept 23 at 1983.
Notice that the one day rallies are sold into
This must be a bear market cause everyone is getting taken out and beaten up.
This might be expected if we were below the 200 day ma (1904) but we aren't yet.
This leads me to suspect that this may be the tip of a much greater decline, perhaps a manic selloff into late October to re-charge the Bull, perhaps something worse. We have been warned.
No CommentsA nice relief rally and close above the Buy Signal level of 1960.
Lots of potential resistance above – 55 Ema at 1971 and midpoint at 1979,
but the T Theory volume oscillator looks great.
Assuming that we can get through the resistance and close above 1983, then we have the potential for new highs.
It looks like we have a cluster of highs scheduled for oct 14 and 17 – into expiration.
No Comments