- WE'RE JUST RANDOM SPECKS OF DUST IN A TORNADO TO THE MARKETS .......
- CHARTISTS MUST PUT ALL BIAS ASIDE AND LET THE CHARTS DO THE TALKING OR WE'LL SEE ONLY WHAT WE WANT TO SEE
- This blog has a copy of all header posts that I publish anywhere, so that those interested in seeing what my thoughts are on the markets can find them easily.
- I will be answering questions and responding to comments, so feel free to respond to any posts and I will see your comment even if it is not on the most recent post.
- If you're interested in seeing any intraday charts I post, I do that on twitter, and my twitter handle is @shjackcharts.
- The charts in the posts are as large as I can practically make them. if you would like to look at one more closely, click on it, and the link will take you to a larger version at screencast. If you click on that again, you will get a full page version, and can use the resizing function on your browser to enlarge parts of interest further.

Friday, 29 January 2016

Binary Setup on Cycle Trend Day

SPX has been compressing for a few days now and we are going to see a move very shortly. I'm leaning long for that move but it's possible both that any new high will be marginal, on the possible rising wedge option, or we may go straight down through support, on the double top option. Only if bulls can convert possible wedge resistance into support does the IHS target open up as a target, and even then there is significant resistance both at the daily middle band in the 1930 area, and possible channel resistance in the 1940 area. SPX 15min chart:
What the bulls have on their side is the very bullish daily signals setup, but this doesn't preclude a possible retest of the lows of course. SPX daily chart:
Today is a cycle trend day, which doesn't mean that we'll see a full trend day, but does give 70% odds that today will be dominated by either buyers or sellers. Today is the last day of January and the stats lean bullish. Even more so on Monday. We'll see if the bulls can run with that.

My January barometer setup requires a close under 1990 today to repeat last year's strong lean towards a flat year at best. No doubt the bears were up all night worried about losing that level today. Support is in the 1875 area and resistance is in the 1915-25 area. We'll see who wins the day, but it's seems almost certain that bears have already won the month, and therefore most likely also the year.

No comments:

Post a comment