Friends, A quick and dirty way to forecast your way across the blank screen is to make use of very simple tools, such as Fibonacci forward projections of its significant 1.618 extension. In the case of the #ES, here we are dealing with a high-probability geometry, derived from a Elliott Wave's pattern, in which we recently noted a Bullish Flat. Hope this...
Traders, Watch for possible decline to 1992 and subsequent 0.618-Fib recovery to structural resistance at 2003.75. David Alcindor Predictive Analysis & Forecasting Denver, Colorado - USA
In markets that can remain irrational longer than we can remain solvent here some tips to consider when using indicators on price. There is a reason they say the trend is your friend. GL out there!
// update 06-08-2014 // This chart was posted last month where we noted the limited upside potential. Price came off the highs an could be rolling over. Where and how we rebound are the key questions. The two support areas to observe are marked with the blue and brown arrows. It would be healthy to witness at least a minor bounce at the blue support level.
Today's market action may be an indication to a very volatile August with historic cyclical weakness ahead.
S&P500 hit upper resistance of the brown channel. We have an interesting setup here where momentum is slowing down and the RSI is also at high levels. Now price might hit the upper resistance of the blue channel but clearly some caution is due as the room to the upside is getting smaller.
Based on measured move objectives there are a confluence of potential resistance areas to note just above where price currently resides. Above ~11280 with CONVICTION and ~12500 is the final target.
The monthly chart is showing price is attempting to retest old trendline support as resistance. 2008 when price broke below TL support 2003 thru 2008 price tested it as resistance will price try to retest it as resistance. I do not know if the SPX will trade up to its old channel with summer starting in a few weeks, but if it does, I would look for...
The SPX is in a confluence zone where price seems to have trouble getting over. Price has run into its monthly channel that started in 1982. The last time price kissed its upper channel in 2000 price was rejected and it seems like price is being rejected again. Using the highs of 1987 as an anchor price is trading in another gann sq similar to 2000 and 2007 highs....