I iterate my prior conclusion that the correction ends today; however, I would like to see a close above this trendline.
Friday, June 3, 2011
S&P 500 Bull Market Trendline
I iterate my prior conclusion that the correction ends today; however, I would like to see a close above this trendline.
Thursday, June 2, 2011
Wednesday, June 1, 2011
A-B-C Correction Near Complete
Regarding the fist image below, I explained why such a pattern would occur in this previous post. (Also regarding the previous post, the major trendline on the log scale is at around 1300 right now.)
At this stage, it is evident that the projection drawn in yellow is playing out. Now, a parallel channel encapsulating the entire correction can be drawn, and a target area estimated with more accuracy:
By tomorrow or Friday, I project that the correction that began in May at 1370 will end around 1300. Based on a T, a rally of at least one month should follow-- hypothetically speaking, possibly an excellent buying opportunity. By the way, the end of QE2 probably has already been discounted by the market.
At this stage, it is evident that the projection drawn in yellow is playing out. Now, a parallel channel encapsulating the entire correction can be drawn, and a target area estimated with more accuracy:
By tomorrow or Friday, I project that the correction that began in May at 1370 will end around 1300. Based on a T, a rally of at least one month should follow-- hypothetically speaking, possibly an excellent buying opportunity. By the way, the end of QE2 probably has already been discounted by the market.
Intraday Bias 10:15 AM
Positive
Seems like the selling pressure may be close to being exhausted; note high volume drops on the string of disappointing economic data over the last several days.
Seems like the selling pressure may be close to being exhausted; note high volume drops on the string of disappointing economic data over the last several days.
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