- last week's action seemed encouraging for the bears but as we can see below the S&P500 has to break 1 of the 2 major SUPPORT/ RESISTANCE areas or will stay within the range
- A breakdown could turn into a fairly bearish scenario
COMMENTS- SUSI proved to be right last week and the Flip took place
- Pls also recall that a TCS (TimeCycles Spike) does indicate an increased probability for noticeable action, which can be a turn or some kind of impulsive behaviour. Giveb that we ahve a good amount of TCS coming up in the next 2 weeks I'd expect some Volatility which can turn either side.
- Will we see confirmation and continuation next week?
- Next week could offer some heavy liquidation driven by Institutional profit taking. They all had a good Q2 and Q3 and are all sitting on some nice unrealized gains protected by tight stop loss levels. So far we've seen the first trendlines and wedges been broken and unless we see some "DIP BUYING" we could see a quick move through the Support area (see above) to 980 on the S&P 500.
- The LQD has triggered a SELL Signal which is the first since the beginning of the madness in March. LQD went in a straight line and sofar has ignored all minor pull backs in the Equity market. Therefore you must watch the Fixed Income Market be it the LQD as a Corp. Bond Proxy or the TED Spread on the short term side of the yield curve.
(Due to our travelling schedule we will NOT post a weekly update next week)
No comments:
Post a Comment