Tuesday, November 2, 2010

11/2/10 - 8:55 PM EOD Update

8:55 PM Update

Let us not forget this chart. 1232 is a very likely target given that the ascending triangle target also hits this area.

8:00 PM Update
MTU at Market Timing Update posted a good bear and bull count tonight. I just wanted to share with my readers his take. I think it is a pretty good option.

7:20 PM EOD Update

Looks like futures managed to make a new high and break out of the triangle.

Looks like CCI broke the trend today by a mile. Daily MACD histogram made a higher print as well.

We closed over the 200 week SMA (1193.14) today. Let's see if the market holds over this a few days.

The market has been well above the 200 week SMA during the majority of the bull run as far back as 1992 (that's as far as TOS would provide). Will we see the repeat of 2004 where we whipsaw up and down just above the 200 SMA?

EOD Update
SPX - 15 Min

We're still in the ascending triangle and this was the chart of the day for me.

I was watching both the MACD trendline resistance and horizontal resistance line of the ascending triangle. The market hit both and was rejected by both, for now.

I suspected that the market would drag this out a little longer and possibly put in the actually subwave [D] of the triangle.

We started with some selling into the close and currently the 30 min MACD is on the verge of a cross down for what I believe to be subwave [E]. The alternate is that we saw wave i (though it looks too much like a three wave structure) of the final thrust up and working on ii down.

At this point though, I'm not sure if it matters if the market is working on subwave [E] or a wave ii pullback in preparation for the thrust higher.

1188 makes for a nice 38% retracement and a support level from the highs on the 21st and 28th.

Futures looks like it is going to bust through the horizontal trendline tonight so we'll keep an eye on that as well as the EUR/USD and /DS.

Gotta run for now. Will try to get some more charts out later.
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