=============
ChartsEdge Pattern Recognition for Nov 23
Posted: Nov 23, 2009 Author: Mike Korell
Filed under: One-Day Market Map
=============
Whew, took a while to pull this post together - thanks as always, Mike and ChartsEdge!
Readers will remember we've had some weekend analysis consistent with the idea of a positive move for at least a couple of days, as a possible wave 2 up in the SPX. There are some thinking it could turn into more, like a new high over SPX 1113, so a stop by that level makes sense for a swing short position if not using fast moves for playing the bounce. Makes it trickier being a holiday-shortened week (at least for cash traders constrained by RegT). It's possible we may have a buy-Monday, sell-Friday type week, but also possible it only works if you already bought last Friday on spec with the possible five-waves down idea that may have completed the wave 1. It's something I tweeted Friday, but obviously I can understand it can have been a challenge to be buying that day (except to cover).
Can't make a hard assumption how far this goes, other than watch 1097, and especially 1100, 1102, 1107. If it makes 1007 a support then it might get past 1112 so be alert if that happens. On the other hand, if we are right about wave 2 up, then swing players should be thinking about positioning for the next, wave 3 down which is typically a bigger move.
So we'll also watch VIX which even exceeded my thoughts about where it would land for opex, plus dollar and gold. So as always, careful out there, and happy market navigating!
Posts
No comments:
Post a Comment