SHORT TERM: new highs, DOW +92
Overnight the Asian markets gained 0.1%. Europe opened higher and gained 0.6%. US index futures were higher overnight, and at 9am Case-Shiller was reported higher: +4.5% v +4.3%. The market opened one point below yesterday’s SPX 2110 close, ticked up to 2111, then pulled back to 2106 by 10am. At 10am Consumer confidence was reported lower: 96.4 v 102.9, and FED chair Yellen testified before the Senate: http://www.federalreserve.gov/newsevents/testimony/yellen20150224a.htm. During the testimony the market rallied to SPX 2117 by 11:30. Then it pulled back to SPX 2109 by 12:30. After that the market made a new high at SPX 2118 before dipping to 2115 at the close.
For the day the SPX/DOW were +0.40%, and the NDX/NAZ were +0.10%. Bonds gained 24 ticks, Crude slipped 35 cents, Gold slid $2, and the USD was higher. Medium term support remains at the 2085 and 2070 pivots, with resistance at the 2131 and 2198 pivots. Tomorrow: New home sales, and FED chair Yellen addresses Congress at 10am.
The market opened slightly lower today, put in its low for the day within the first hour for the sixth day in a row, then moved higher for the rest of the day. The market made another new high today at SPX 2118, as it continues to rise from Friday’s 2085 low with small pullbacks along the way. One of the three short term counts posted over the weekend, the 30% probability #2, was eliminated today with Greece getting final approval for the 4 month loan extension. The 10% probability option #1, suggests the maximum upside for the uptrend is SPX 2145. It is still in play and we raise its probability to 20%. Option #3, at now an 80% probability, continues to look like the most obvious count. Short term support is at the 2085 and 2070 pivots, with resistance now at the 2131 and 2198 pivots. Short term momentum is now overbought. Best to your trading!
MEDIUM TERM: uptrend
LONG TERM: bull market
test of 2010 support. Next S 2005/6. 1/2/4 hr candle close below 2005 are my stops for day/swing trades.
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Question, what happens when a trend line is hugged for considerable time?
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Everything closes Green. Gap and go tomorrow
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Hey Tony. just checking in on the blog.
Naz 5000 area is going to be some resistance.if looking left.. 😉
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the magic of big round numbers
just 16 points short of that today
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Just got stopped out on my UPRO long; had adjusted the stop to 1%, and sorta glad I did, given what might be looming here. Made a 1.2% profit on the trade overall. Welcome to the big leagues.
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Pullback soon for the minor 4 of Int.I down to OEW2070 ?
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2.085 area?
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~2080 = HWB from 2140ish to 2119.
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sorry that’s 2040, not 2140.
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Simpleiam
I believe we might have entered minor wave 4 not 5. Therefore…
wave 4 often corrects 23.6% or 38.1% of wave 3..wave 2 so far is 80 points
(2040 – 2120)
.236 X 80 = 19 point correction to SPX 2100
.381 X 80 = 30 point correction to SPX 2090
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correction wave 3 so far is 80 points 2040 – 2120
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Very possible. I always pay attn. to HWB & gauge the other fibs from there. Thanks for the #’s.
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Minor wave 3 could still be ongoing, this 10pt pullback could be all we get for now, maybe Minor wave 3 ending around 2140
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…we have to remember markup for end of month …tomorrow or friday….
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Agree. Minor 3 has not even reached equality with Minor 1. Correct?
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Thinking more along a micro, small level.
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