S&P 500

Quick update as this hit the important trendline in the futures market last night (1668):



dl.dropboxusercontent.com/u/20815047/FTS...500daily08_10_13.png

My stops are at 1664, just below the 1665 high of the big doji from a few weeks ago.

Not S&P 500, but benchmarking with other UK FTSE, FRES and KAZ, both approaching key supports, 866p and 233p, respectively, if fail then downtrend could continue.

Interesting times, with miners down (KAZ may test lows of November 2008 179p and FRES test -61.8% fib (866p again)of rise from 105p (November 2008)and general markets trending up still for now, HH and HL.

S&P500 is approaching the main uptrend support from Nov 2012 lows now. It's at 1664 today, rising each day. Last time round, Dow dropped through it's equivalent but S&P held at 1627 so could be the same this time round. If it fails then almost certainly we're in Primary 4 already as this should hold if Primary 3 is still in play (possibly one last move up for P3?).

Remember your stops.



dl.dropboxusercontent.com/u/20815047/FTS...500daily04_10_13.png

Personally I find SPX to be much more predictable than Dow, probably because the vast majority of traders in the US trade this rather than DJI. I realise this is countertrend but it's a pure trendline play so worth a stab on first attempt.

In spite of closing on a downer tonight, the S&P is still on an up-trend, technically:




However, a number of options are open for the very near term:

1. A mini correction (ending on Thursday), or,

2. A slightly bigger correction, dropping to the 1650s - spanning over a dozen or so sessions, or,

3. Wait for tomorrow's session to close to see if the next (end of day) candle will result in a morning star pattern; so will keep an eye on this, and if confirmed, then this scenario ends the mini-correction, over the previous 4 sessions, and up we go again.

4. None of the above!


p.s. Apologies for the weak chart, I'lll be just in time to take advantage of the CV/MetaStock deal before it expires!

Good luck folks!

I've closed my dow short for a 45 pip gain. Best safe than sorry!

This got very close to the top of the wedge running all the way back to the top of Primary 1 in April/May 2010 so I've taken a small short:



dl.dropboxusercontent.com/u/20815047/FTS...SPXdaily19_09_13.png

Risky trade so stops are a must.

PS The trade is in dow futures markets but I used the SPX to determine entry.