The SP futures (or ES electronic mini S&P) have been drifting sideways since yesterday afternoon. Where have I heard that before? This is getting old. However, the trend continues to be ever so slightly to the upside, with the 5 day cycle oscillator staying pinned in positive territory for days on end.
The 2 day cycle centerline has risen to meet the current price around 1344. The 5 day cycle centerline is coming up just below that at about 1342. That should be support. If it breaks, the next support is suggested at about 1334. The 2 day cycle oscillators indicated that a down phase has been under way since about 4 AM. So far, it has done no damage, which suggests that the next up phase could show some pop. If they get past the pivot high around 1348, they could run to the next resistance area around 1356.
Here’s a look at the Spoos 30 minute bar chart (time stamp in upper right corner).
SPX cash opened with a little pop to the 8-13 day cycle centerline at 1349. 5 day cycle oscillators are on the buy side, working against the 8 day cycle which is still in a sideways down phase. The 2 day cycle oscillators look toppy, but as long as they stay in positive territory, the slight uptrending will continue. If SPX clears this resistance area at 1350, it would be clear to run to the next indicated resistance zone around 1355. Wow, it doesn’t get much more exciting than this, racing fans.
As I complete this, the market is making its move to break out. A new 2 day cycle projection points to around 1353. But that may just be for starters. A preliminary 5 day cycle projection has a target of around 1360, if they can hold this pop. If they can’t, then it should pull back to support at 1345. If that breaks, the next support is down at 1336.
Here’s the cash SPX chart (time stamp in lower right corner).
On this chart the yellow lines correspond with a nominal 8-13 day cycle. The cyan lines correspond with the 5 day cycle. The lower oscillators correspond with a nominal 2 day cycle (light blue) and a nominal 5 hr- 1 day cycle (red).
You can follow my real time intraday cycle updates with cycle price targets during the day at The Stool Pigeons Wire at Capitalstool.com.
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