HOT TOPICS LIST
- MACD
- Fibonacci
- RSI
- Gann
- ADXR
- Stochastics
- Volume
- Triangles
- Futures
- Cycles
- Volatility
- ZIGZAG
- MESA
- Retracement
- Aroon
INDICATORS LIST
LIST OF TOPICS
PRINT THIS ARTICLE
by Austin Passamonte
Here's the midterm outlook for the S&P 500 index price direction.
Position: N/A
Austin Passamonte
Austin is a private trader who trades emini stock index futures intraday. He currently trades various futures markets from home in addition to managing a trader's educational forum
PRINT THIS ARTICLE
TECHNICAL ANALYSIS
Potholes Season
03/14/11 09:17:44 AMby Austin Passamonte
Here's the midterm outlook for the S&P 500 index price direction.
Position: N/A
| Springtime in the US means an end to winter, a beginning to spring, and a return to the cycle of life of life renewed. Here in the Northeast it also means a time of road damage repair, with winter potholes patched and filled. Springtime 2011 for stock index markets may see some patching up in similar fashion before summer driving season arrives. |
|
| FIGURE 1: June 2011 S&P 500 FUTURES |
| Graphic provided by: NinjaTrader. |
| |
| The June 2011 ES contract shows where price ended its parabolic ascent on waning volume in late February and recently completed a lower-high failure that formed a very crisp textbook wedge formation (Figure 1). Price has since broke down from that classic pattern and then staged an outside session aka a bullish engulfing candle to end the week. |
| A retest of the 1310-1315 apex area of that formation, which fails and turns lower, would be bearish confirmed. A break below most recent lows (as of Friday, March 11, 2011) would be equally bearish. A break back above the 1320s and especially the 1330s would resume the rally following this pullback sequence. |
| Should price continue lower as presumed until upside breakout proves otherwise, there is a multitude of open gaps below from the "Swiss cheese" rally fed by the POMO-driven liquidity push. Some, most, or all of those gaps will be filled eventually. Sooner or later, price will retrace and backfill lower levels from here. |
| We'll track this chart and target those gaps as potential profit exits for short trades taken on confirmed sell signal entries to come. |
Austin is a private trader who trades emini stock index futures intraday. He currently trades various futures markets from home in addition to managing a trader's educational forum
| Title: | Individual Trader |
| Company: | CoiledMarkets.com |
| Address: | PO Box 633 |
| Naples, NY 14512 | |
| Website: | coiledmarkets.com/blog |
| E-mail address: | austinp44@yahoo.com |
Traders' Resource Links | |
| CoiledMarkets.com has not added any product or service information to TRADERS' RESOURCE. | |
Click here for more information about our publications!
Comments
Date: 03/15/11Rank: 2Comment:
|
Request Information From Our Sponsors
- StockCharts.com, Inc.
- Candle Patterns
- Candlestick Charting Explained
- Intermarket Technical Analysis
- John Murphy on Chart Analysis
- John Murphy's Chart Pattern Recognition
- John Murphy's Market Message
- MurphyExplainsMarketAnalysis-Intermarket Analysis
- MurphyExplainsMarketAnalysis-Visual Analysis
- StockCharts.com
- Technical Analysis of the Financial Markets
- The Visual Investor
- VectorVest, Inc.
- Executive Premier Workshop
- One-Day Options Course
- OptionsPro
- Retirement Income Workshop
- Sure-Fire Trading Systems (VectorVest, Inc.)
- Trading as a Business Workshop
- VectorVest 7 EOD
- VectorVest 7 RealTime/IntraDay
- VectorVest AutoTester
- VectorVest Educational Services
- VectorVest OnLine
- VectorVest Options Analyzer
- VectorVest ProGraphics v6.0
- VectorVest ProTrader 7
- VectorVest RealTime Derby Tool
- VectorVest Simulator
- VectorVest Variator
- VectorVest Watchdog