S&P 500 Index SPX500USD
Was looking for a selling climax around yesterday's open, leading to a counter rally which would last into Friday's US open before falling away again.
Well we got the counter rally just after the open in US, leaving a spike off the low at 2708 and 9 points from the next support line at 2699. Not much good, really.
Then the S&P had to regain 2763 to have a decent chance of ralling further overnight.
It managed to do this and went on to reach a high at 2781 before falling away to retest the 2763 line yet again before bouncing.
Nasdaq has had a good overnight too, rallying to resistance and Goog is called up around 1100 again on the open.
So far so good.
The next big question is how markets will react on the open, obviously.
Will they top out here with Goog at 1100 and fall away again - or can they break the highs of yesteday and spark a bigger counter-rally as the day wears on and more near term confidence starts to return as price builds?
Downside Trades Today
Ideally it will be the former - if so the first clue should be a break back below 2763-2760 range.
That should be worth shorting back to 2744-3 range
It should try to bounce again here, trying to form a right shoulder to lean on.
A break below 2740 would suggest that attempt has failed and it should then start to fall away to 2699 and 2674 support lines.
Upside Trades
2763-2760 must hold up around the open if this counter rally is hold up a while longer, tempting more longs as well as some bear closing back up towards the 2784-2794 range where it should become vulnerable again.
Hoping that Google will again help to clarify price action from here. It has to hold up above 1100 today for markets in general to remain positive, imo.
A break above 2794 on SPX should ideally be accompanied by GOOG pushing higher above 1100 too.
That should then trigger a decent relief rally back to 2834 on S&P at least and potentially as high as 2865 before collapsing again.
Again we need to be prepared for this if it materialises and to follow long to 2834 (and suspend disbelief for a while :)
Markets are still super volatile still and still trying to make up their minds whether to stabilse for a while or break lower still.
This volatility is similar to Bitcoin of old.
This is where the skill sets you learned trading the crypto markets should be useful.
Once again there's likely to be plenty of whipsaw around the open.
Once more it will be a close-run game of cat and mouse - with a break above 2794 needed for the counter rally to turn into a relief rally higher as above.
The overall picture is still negative looking into next week. That will remain the case unless and until a double bottom materialises when the next decline sets in.
Often a poor October leads to a counter rally around mid month leading to another sell off in November.
A volatile couple of months are in store with a series of great trading opportunities still to come.
Like Bitcoin of yore.
Be lucky. Follow the chart and not blind hunches or dogma and you will be ;)
* For major market updates in real time today please see links at top-left of main page
Was looking for a selling climax around yesterday's open, leading to a counter rally which would last into Friday's US open before falling away again.
Well we got the counter rally just after the open in US, leaving a spike off the low at 2708 and 9 points from the next support line at 2699. Not much good, really.
Then the S&P had to regain 2763 to have a decent chance of ralling further overnight.
It managed to do this and went on to reach a high at 2781 before falling away to retest the 2763 line yet again before bouncing.
Nasdaq has had a good overnight too, rallying to resistance and Goog is called up around 1100 again on the open.
So far so good.
The next big question is how markets will react on the open, obviously.
Will they top out here with Goog at 1100 and fall away again - or can they break the highs of yesteday and spark a bigger counter-rally as the day wears on and more near term confidence starts to return as price builds?
Downside Trades Today
Ideally it will be the former - if so the first clue should be a break back below 2763-2760 range.
That should be worth shorting back to 2744-3 range
It should try to bounce again here, trying to form a right shoulder to lean on.
A break below 2740 would suggest that attempt has failed and it should then start to fall away to 2699 and 2674 support lines.
Upside Trades
2763-2760 must hold up around the open if this counter rally is hold up a while longer, tempting more longs as well as some bear closing back up towards the 2784-2794 range where it should become vulnerable again.
Hoping that Google will again help to clarify price action from here. It has to hold up above 1100 today for markets in general to remain positive, imo.
A break above 2794 on SPX should ideally be accompanied by GOOG pushing higher above 1100 too.
That should then trigger a decent relief rally back to 2834 on S&P at least and potentially as high as 2865 before collapsing again.
Again we need to be prepared for this if it materialises and to follow long to 2834 (and suspend disbelief for a while :)
Markets are still super volatile still and still trying to make up their minds whether to stabilse for a while or break lower still.
This volatility is similar to Bitcoin of old.
This is where the skill sets you learned trading the crypto markets should be useful.
Once again there's likely to be plenty of whipsaw around the open.
Once more it will be a close-run game of cat and mouse - with a break above 2794 needed for the counter rally to turn into a relief rally higher as above.
The overall picture is still negative looking into next week. That will remain the case unless and until a double bottom materialises when the next decline sets in.
Often a poor October leads to a counter rally around mid month leading to another sell off in November.
A volatile couple of months are in store with a series of great trading opportunities still to come.
Like Bitcoin of yore.
Be lucky. Follow the chart and not blind hunches or dogma and you will be ;)
* For major market updates in real time today please see links at top-left of main page
Comment:
GOOGLE
Apple
Rejection spikes ...
Driving stop down on S&P to 2735.5 for now...
SPX
Keep dropping the stop to within 3 points of low.
Minor support potential at 2727 but ideal near term target is 2699.
Apple
Rejection spikes ...
Driving stop down on S&P to 2735.5 for now...
SPX
Keep dropping the stop to within 3 points of low.
Minor support potential at 2727 but ideal near term target is 2699.
Comment:
the S&P has made a near term higher low - and stopped out the short for another 8 points profit to add to the 21 points from the previous short today.
With spikes either side of price on 30 minute it looks to be turning neutral/dead for a while - so am calling it a day.
Has to break 2755 for a 20 point scalp back up to 2775.
And has to break back below 2727 to follow short again back to 2710 at least and ideally to 2698.
With spikes either side of price on 30 minute it looks to be turning neutral/dead for a while - so am calling it a day.
Has to break 2755 for a 20 point scalp back up to 2775.
And has to break back below 2727 to follow short again back to 2710 at least and ideally to 2698.
Great start by Google but straight into the upper dynamic.
Since then it's fallen below 1100 and dragged markets lower, triggering another short on SPX from around 2763 and now touching the first target at 2743-2740.
And Goog has fallen to test the next support line at 1092.62 and must hold up here - and at 1090.9 at lowest to avoid further near term weakness back to the lows of yesterday again at 1069.5.
This price action should ideally coincide with SPX holding up at 2743-0 first support line and beginning to build a right shoulder from here.
The pattern is still bearish so far. The only thing that can change the near term picture is as above.
Any break below 2740 triggers another short back to 2698