my guess would be a touch on the 200 weekly MA, to make the B wave minor rally back to current levels, which by then will be a touch on the 50w MA, then a drop to oversold for an 2008-style crash before the next proper uptrend on the S&P
Comment:
closed my short and took profit on the SP. technicals are looking mildly bullish to me now - i will wait to see what happens on Wednesday's announcements. There could be a late Santa-rally, but if the Interest rates are hiked up again, I will be ready to see how the S&P responds
Comment:
so the fed res decision plus Trump doing his thing got the s&p to hit the weekly 200 ma pretty swiftly (and beyond)... close to oversold on the weekly now.. might be a little bounce but wouldn't count on it given trump's way of doing things. We are def due an uptick for the b wave, but how much Im not sure. I think i will wait for it before going short again to the 2000 or so mark.
Comment:
So, the s &p is pretty much completing the b-wave i think - RSI on the weekly is at the bear-resistance level of 55% - and its meeting the RSI downtrend line cleanly right now. I spotted a possible ranging channel on the DOW which i have added to the S&P, which makes a bit more sense of the extreme levels of movement if you buy into the idea... hope its helpful.
Comment:
although if you agree with the range idea, that would mean a reversal at the end of the C wave, and a potential break out on the subsequent upward range..