Sep 3, 2013


Short term signal: NEUTRAL - down bellow 1627, up above 1651
Intermediate term signal: DOWN - up above 1651. As I have said yesterday not really to trust and get long....
Comment: Not really convincing the bulls... another move lower as shown on the chart bellow has higher probability.
Be careful for a 1-2(from the bottom on Friday) and now 3 from a wave higher. We will know tomorrow - if the short term bottom is in and this is wave 3, SP500 should open higher and not look back for the next 2-3 days.

Watch price behavior for clues:
- short term bottom - SP500 should find support between 1625-1630(check) and move above 1655-1660, but the move should be corrective(check) and stay bellow 1682
- a rally higher has begun - 2-3 strong days up reaching at least resistance ~1682(not really what is happening)

Levels to watch SP500:
- 1682 - resistance
- 1645-1655 important area, congestion zone, now it is a resistance.
- 1627 support level
- 1598 is major support.

No comments:

Post a Comment