wednesday update


Overnight the Asian markets gained 1.2%. Europe opened higher and gained 0.3%. US index futures were lower overnight, but moved back up as the market opened unchanged at SPX 1985. After the open the market rallied to SPX 1991, and then started to drift lower ahead of the FOMC statement. At 2pm the market was trading at SPX 1981 when it was released: Suggest you read it. After the release the market dropped to SPX 1972, bounced to 1978, then dropped to 1969, before rallying back to 1980 by 2:30. Typical FOMC statement volatility. Then just before 3pm the SPX hit 1973, bounced to 1978 by 3pm, then dropped to 1971 just after 3pm. After that the market started to recover. At 3:30 the SPX hit 1984, then dipped to close at 1982.

For the day the SPX/DOW were -0.15%, and the NDX/NAZ were -0.35%. Bonds lost 16 ticks, Crude gained 90 cents, Gold dropped $17, and the USD was higher. Medium term support remains at the 1973 and 1956 pivots, with resistance at the 2019 and 2070 pivots. Tomorrow: Q3 GDP (est. +2.5%) and weekly Jobless claims at 8:30. Then a speech from FED chair Yellen at 9am.

The market opened unchanged today, rallied to SPX 1991, then dropped to 1969 after the FOMC statement. Today’s decline was the largest since the pullback from 1869-1835 very early in this uptrend. While it was a large pullback, it did not drop below yesterday’s SPX 1964 level. So the higher lows, and equal/higher highs, streak extends to ten days. Despite today’s higher high at SPX 1991 our count remains unchanged. Short term support is at the 1973 and 1956 pivots, with resistance at SPX 1991 and SPX 2000. Short term momentum dropped to neutral after today’s negative divergence at the highs. Q 3 GDP tomorrow, best to your trading!

MEDIUM TERM: Major B makes new high

LONG TERM: bull market


About tony caldaro

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315 Responses to wednesday update

  1. rabbittrader1 says:

    I have not had time to read your post’s . today , Guys and Gals However ,one of my names is Mac Leod. The MacLeod motto is “Hold Fast” (has been so since the year 1200) I am bleeding, but holding my short position on the SPX. Yours Rabbit (I am not holding Futures at this time or I would have stopped out days ago ) I think we are having Federal Reserve and Investment Bank buying in here to extend this B wave and the Cycle, but it will correct (and come back to Haunt Them (Happy Halloween.)! Yours Rabbit.

  2. mrgreen2010 says:

    BATS going batty today…second bids and asks set-up…something does not feel right…worked in my favor today so I am not complaining…just feels strange… my higher ask got filled as did my lower bid getting in. Even got a stink bid filled for an instant 10 bagger if the ask gets hit so I will use that as my new stink ask.

  3. hucky2 says:

    Yet another day in the apparently relentless pattern of higher lows and higher highs – who would be short?

  4. gary61b says:

    still waiting for lower lows and lower highs the rest is wishful thinking.

  5. All you need is a chart.

  6. fishonhook says:

    Tony’s Wave counts, twitching rabbit ears, cosmic rays, Armstrong’s guesses, fibonacci extensions, P/C ratios, Bullish advisor % Scotty’s worst drop in history call…did I miss anything out?
    The market has just powered through them all. Will be interested to read the up-date today.

    • IAWT says:

      Lol. Cosmic rays…. There has been an abnormal amount of anxious bear speak. Not usual for this board.

    • cmucha68 says:

      Not to forget those brainless calls we will go down hard below 1800, 1700, 1600 and no stop until 666. Only a chart, support and resistance, that’s it. For everthing else you can find and adjust counts And waves as much as you like.

  7. Be aware, that Japanese market will open with bang in another 14 hours, so futures on SPX will be definitely higher..taking all STOP LOSSES

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