$SPX Update for 11.02.2008

S&P 500 INDEX - $SPX

Monthly chart shows that the market gave up more than 89% of the gains made since the October 2002 low. The index remains well below all key moving averages, especially the 8ema. The index also remains well below the down trendline in place. No buy signal/pattern evident on this timeframe.

Weekly chart shows short term support is in place, with the bulls managing to close the week well above its open. However, the index current remains below all its key moving averages as well as the down trendline in place.

Daily chart shows a short term buy signal/pattern in place. The bulls made an impressive move upwards with Tuesday's trading session, but they struggled sluggishly the remainder of the week. The bulls need to be able to decisively take this market higher, well above the October 14, 2008 high (current resistance level). IF they cannot, THEN look for consolidation pattern, and then lower lower once the consolidation pattern is complete.