Do “NOTE” that even though the weekly chart is turning back up slightly this move up needs to happen fast… like before breaking that rising trendline on the weekly chart. If for some reason we break that support (that goes back to the 1074 SPX low in 2011) we could fall off a cliff and bury the MACD’s, Histogram Bars, and Stochastic’s on both the daily and weekly chart.
With the news from the FOMC today of them NOT announcing a scheduled rate hike in September as the rumor last week told us it would be .35% I have too think traders will get bullish now… and that should mean the opposite will happen and we’ll drop again.
While I think we are “close” to having a breakout to a new high soon I just can’t get excited about going long with the VIX so low and all those bulls still onboard from the 2040 SPX area over the last several months. If SkyNet would just flush them out with some drop to 2000-2020 I’d become a bull again.
They never filled the VIX gap at 16.60 and that leaves some hope that they might just be planing another drop to get the Weekly chart oversold and then allow for a bottom to form. All the bears would pile on below 2040 and once SkyNet gets the bus full it should be plenty of fuel to squeeze them up hard like the rip from the 1820 SPX low last year in October.
If we don’t breakout to the upside hard tomorrow then I think we are copying the July 21st, 2011 move. http://screencast.com/t/irYp5kMK3QU
Breakout of zone between 2135 and 2040 SPX likely to happen within days. Read new updates on blog…
Do “NOTE” that even though the weekly chart is turning back up slightly this move up needs to happen fast… like before breaking that rising trendline on the weekly chart. If for some reason we break that support (that goes back to the 1074 SPX low in 2011) we could fall off a cliff and bury the MACD’s, Histogram Bars, and Stochastic’s on both the daily and weekly chart.
With the news from the FOMC today of them NOT announcing a scheduled rate hike in September as the rumor last week told us it would be .35% I have too think traders will get bullish now… and that should mean the opposite will happen and we’ll drop again.
While I think we are “close” to having a breakout to a new high soon I just can’t get excited about going long with the VIX so low and all those bulls still onboard from the 2040 SPX area over the last several months. If SkyNet would just flush them out with some drop to 2000-2020 I’d become a bull again.
They never filled the VIX gap at 16.60 and that leaves some hope that they might just be planing another drop to get the Weekly chart oversold and then allow for a bottom to form. All the bears would pile on below 2040 and once SkyNet gets the bus full it should be plenty of fuel to squeeze them up hard like the rip from the 1820 SPX low last year in October.
Yeah… I’m trying to stick to what the charts tell me and not letting my bias affect me, as I done that before and lost too many times.
You point on the $VIX is interesting because leading into 2007 and starting 2007, Vix was under $10, even under $9 at a point!
Just did a new video update Doug… we “could” see a new high soon.
Possible New High Coming On The SPX (Refresh page for new video update) https://www.youtube.com/watch?v=NrW3R1IC6kA
I see a wedge forming & a squeeze to SPY 212.5 area
Leo, also see below my comment on Metal Miners