The S&P 500, as shown on the ES futures 24 hour chart, has relentlessly been making lower lows and lower highs on a cycle averaging around 3.75 days. A low is due now, suggesting an upswing for most of the day today. The cycle now ending hasn’t been as weak as the two prior ones, so they might pop it through the downtrend. The key trendline will be around 3913 in the first half hour of NY regular trading. To really get things going on the upside, the ES would then need to clear 3920. That should give it enough pop to get to yesterday’s triple top at 3960. And if they got through that, then a challenge of the high of the last cycle made last Friday at 4018.6 would be in order.
But let’s not get ahead of ourselves. There’s still an unmet 5 day cycle projection of approximately 3855. That will remain on the table until the downtrend is broken. If they break the overnight low of 3883.8, then I’d be looking for that to happen.
I’ve been visiting the gorgeous city of Lyon the past two days. Excluding Paris, which is in a world of its own, Lyon for me is tied with Lisbon as the most beautiful big city that I have enjoyed in Europe. Today, it’s on to Paris for a couple of days.
I will post the Gold Trader report before New York opens.
This is just the very short term stuff. For the big picture check out the posts below.
- Swing Trade Screens – 13 Picks, All Shorts, All Winners September 5, 2022
- Technical Analysis Confirms the Brutality of Liquidity September 4, 2022
- Withholding Tax Collections Collapsed in August But BLS Data Won’t Show It September 2, 2022
- Warnings of August Liquidity Crash Come to Fruition – Here’s What to Do August 28, 2022
- Gold Miners Swing Picks August 26, 2022
- Has Rule Number One Been Repealed? August 18, 2022
- “As Good as It Gets” Was Good While It Lasted August 6, 2022
- Treasury Confirms Supply Tsunami We Expected – Will Obliterate Everything August 3, 2022
- Withholding Tax Collections Solid in July, But Here’s Why the Party is Over August 2, 2022
- The Bond Rally That Fooled The Majority And Didn’t Help Dealers July 27, 2022
If you’re serious about the underlying forces of supply and demand that drive the markets, join me!
If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam filter.
