Replies to post #108018 on SPDR S&P 500 (SPY)

[snootmagruder]

2 bit: I came up with a rule violation for my chart/call. that chart a few posts back has been invalidated. I must say from the last high the wave pattern has looked like a wave 4 or b wave which would suggest up, but the wave pattern from before that looks very much like a finished pattern and we sink.

[denmo83]

Well...

On June 25th, I mentioned that my big main channel allowed for the 1017 area:



We did indeed come out of that spot and on the 19th, I was looking to see if we could breakout of the intermediate term downtrend:



On the 22nd, we did and we bounced up to the the 50% fib and also tagged the 200dMA for good measure.



On Tuesday, I said I felt it was time for a pullback to the lower rail of the newly formed short term uptrend.



We did tag it and that was THE spot to add to long positions. Obvious stop is below the lower rail.



Extending the new short term uptrending channel, that top rail is way up there. Currently up at 1160 and as the days go by, the upper rail will keep climbing:



Probably a lot more words then you wanted, but this is how I see it.

When the short term lower rail breaks down (think stoploss on longs), we will have to go back to the big main uptrend channel and watch that lower rail. When that big main uptrend channel breaks, there will be no reason whatsoever to be holding long positions.

Currently, that big main lower rail sits at 1040ish:

[DrHarleyboy]

Watch the China news, growth is slowing...bubble immenent; we cannot sustain market gains with no jobs and false economy, while the TRILLIONS of dollars are being printed as we speak. I don't care what the charts say, Forclosures are coming back to record highs, and did Imention there are no jobs? The carpet will be pulled out soon. Ups and downs will come and go, but the double dip IS coming.

Harley