End of Cyclic Bull Market cycle or another Bull market Correction??
Quote from Post #1186 24 Feb 2012
Quote:
Originally Posted by
Hoop
Ananda quote..."...whatever, in terms of risk, the markets remain extremely overbought in the longer term frame with high risks of a sudden drop in liquidity inflows - portfolio protection at 90%..."
I agree...S&P 500 closed on it's 1363 resistance line. Risk v Reward shows far too much risk. Chart formation rising wedge is bearish. Most commentators/investors are too bullish and too complacent (low VIX 16.8).....that indicates most are already "in the market" reducing the amount of future buyers in the short term future (bearish).
Updated Chart from that one at the top of this thread page
closed 1359 broken its 1363 support
The S&P 500 cyclic Bull has been wandering the Secular Graveyard so it wouldn't surprise me if it has died.....
Testing and rebounding off its 1310 TA target would suggest that the index is recovering from a bull market correction and all is well
Breaking the 1310 would send a warning that the cyclic bull could be sick
http://i458.photobucket.com/albums/q...0010042012.png
US Equity Markets saved by the Bell
Quote:
Originally Posted by
ananda77
...watch the crude market - so far moves opposite equities and most likely best indicator that markets expecting a deepening global recess - however with favorable equity returns where else do U want to park the cash - do not worry bout worst case scenarios unless U head over heels in debt
Kind Regards
S&P 500 started Monday trading up 10 to 1336 under the influence of a Spanish injection...that was the end of the good news as the markets then refocused...it was all downhill after the opening
Later in the afternonn when the short term trading support around the 1315 broke it free-falled and stopped at 1309 (down 17) due to the end of the day bell.
The next test in the fall was/is the 1295 support.
Crude oil is falling to close in on those 9 month lows (support area).
Watch copper..it is bouncing around on its lows at 3.30 major support area...its a good economic indicator and in times like these it can be a leading indicator for Equities.............
Edit: 12th June close ... All 3 markets up Oil Copper ............S&P500 bottomed out soon after opening (1307)and closed up at 1324 (+1.17%)
S&P500 has fallen back but it's uptrend is still technically intact
Quote....SAN FRANCISCO (MarketWatch) —"....A rash of selling on Friday wiped out July gains for both the Dow Jones Industrial Average and the Nasdaq Composite Index as investors reacted to earnings-driven developments and resurfaced European concerns...."...20th July 2012....
The S&P closed on its lows at 1363 down 14 (-1.01%) The 1363 is the major support line...so the major support held...saved by the Bell ...yet again....
No technical damage done, the S&P500 short/medium term uptrend has been weakened but still intact
I have edited my previous posting chart by adding the S&R figures 1374 and 1363 to clarify the importance of Fridays Close.