Did you see that FP I posted earlier that someone one Cobra’s forum caught? It shows the spy at 134.46, which is close to my 1350 spx target area. While I think we will sell off some early next week, I think that’s the final upside target before wave 3 down starts.
It’s possible, but the last time I saw a big print that close to the top, it dropped and never looked back. Check out some of the SPY prints when the market has reversed downwards before. They might be for after QE3 is announced?
Just remember the money has now slowed to a trickle. The next 2 weeks there are only 2 small POMOs, which the banks will be stumbling over each other to use. With all the massive leverage, and the sad, sad volume that has been sapped to almost nothing, there will be redemptions.
I’m out of longs and shorting big. A close beneath 1296 in the next two weeks is guaranteed by the theory of end of month trading, therefore, great value to short here regardless of how high it goes.
All this sideways trading is bad news for the bears. It’s forming a bull flag now and you know how the like to fulfill them overnight with gap up opens. I’m glad I didn’t go short yet, as I think they are going to break this resistance tomorrow on a gap open. I don’t know if it will hold or not, but they appear to be basing for gap over it. Of course they could just push on through it the last half hour, but I really expect it after the close.
Looks like we know our upside target now. It’s not quite the 1350 spx level I was expecting, but close enough. Notice that it came in the morning around 8:40 am, and the market hasn’t been to that level in quite awhile. This tells me it’s real.
Did you see that FP I posted earlier that someone one Cobra’s forum caught? It shows the spy at 134.46, which is close to my 1350 spx target area. While I think we will sell off some early next week, I think that’s the final upside target before wave 3 down starts.
It’s possible, but the last time I saw a big print that close to the top, it dropped and never looked back. Check out some of the SPY prints when the market has reversed downwards before. They might be for after QE3 is announced?
Just remember the money has now slowed to a trickle. The next 2 weeks there are only 2 small POMOs, which the banks will be stumbling over each other to use. With all the massive leverage, and the sad, sad volume that has been sapped to almost nothing, there will be redemptions.
SPX Analysis after closing bell: http://niftychartsandpatterns.blogspot.com/2011/07/s-500-analysis-after-closing-bell.html
I’m out of longs and shorting big. A close beneath 1296 in the next two weeks is guaranteed by the theory of end of month trading, therefore, great value to short here regardless of how high it goes.
Window dressing is done and very profitable I might add. Pomo is over. Pigs get slaughtered, pullback would be healthy…:)
All this sideways trading is bad news for the bears. It’s forming a bull flag now and you know how the like to fulfill them overnight with gap up opens. I’m glad I didn’t go short yet, as I think they are going to break this resistance tomorrow on a gap open. I don’t know if it will hold or not, but they appear to be basing for gap over it. Of course they could just push on through it the last half hour, but I really expect it after the close.
SPY Chart: http://niftychartsandpatterns.blogspot.com/2011/06/spy-hits-100-day-moving-average.html
Opps… wrong link. Sorry. Here it is…
http://reddragonleo.com/wp-content/uploads/spy-fp-06-30-2011-showing-134-46.jpg
Nice FP catch by PDZ on Cobra’s Forum…
http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID3729231
Looks like we know our upside target now. It’s not quite the 1350 spx level I was expecting, but close enough. Notice that it came in the morning around 8:40 am, and the market hasn’t been to that level in quite awhile. This tells me it’s real.