$SPX Update for 03.06.2009

S&P 500 INDEX - $SPX

Monthly chart extremely bearish, with index trading well below all its key moving averages and the down trendline in place. Index has broken through the key LIS and low made on October 2002. Old support now becomes new resistance. Aggressive bulls found short term support off a .618 fib level and my target 3. No buy signal/pattern evident on this timeframe.

Weekly chart remains very bearish, with the index trading well below all its key moving averages and all the down trendlines in place. The bears managed to end the week by dragging the index to close down below the smaller key LIS and prior support of 741.01 which was made in November 2008.

Daily chart shows the index found short term support off the 666.79 level. Friday's trading session ended in a doji candle pattern, indicating indecision between the bulls and the bears. IF we see this short term support level holding, THEN look for agressive bulls to step back into the market next week. The pattern that price has traced out looks to be a bullish butterfly candle pattern.

$INDU Update for 03.06.2009

DOW JONES INDUSTRIAL AVERAGE INDEX - $INDU

Monthly chart remains very bearish with index well below all key moving averages and the down trendline in place. We have broken through the Key LIS at the October 2002 low and now old support becomes new resistance. No buy signal/pattern evident on this timeframe.

Weekly chart shows the bears have the upper hand, taking the index down to a lower low. The bears also managed to close the week near its low. No buy signal/pattern evident on this timeframe.

Daily chart shows the bears took the index down and hit my two downside targets. Friday's session ended in a spinning top/doji candle pattern. Aggressive bulls found short term support right off the 1.618 fib retracement level. After such a strong down move, we are overdue for some consolidation/trading range action.

$INDU Update for 01.03.2009

DOW JONES INDUSTRIAL AVERAGE - $INDU

Monthly chart shows the year ended with December's trading session resulting in a doji candle pattern, signaling indecision between the bulls and the bears. January started with early bulls stepping back into the market. Elliott wave suggests that we could be in wave 4 consolidation/trading range before the next leg lower.

Weekly chart shows the week ended with the bulls gaining momentum to the upside, and managing to close decisively above the 8ema. Look for continued follow through next week, with the test of the key LIS of 9794.37

Daily chart shows continued strength shown by the bulls as they ended decisively above the 8ema. Look for profit-taking at the next key LIS of 9794.37. We have a possible 5 waves up into Friday's high. IF we have 5 waves up, THEN look for abc 3 wave retracement of the whole move up.

$NDX Update for 12.21.2008

NASDAQ 100 INDEX - $NDX

Monthly chart remains bearish, with no buy signal in place on this timeframe.

Weekly chart shows indecision between the bulls and the bears, as the last three trading weeks trading activity resulted in a hammer, doji and spinning top.

Daily chart shows the bulls were unable to gain any traction all week.

$SPX Update for 12.21.2008

S&P 500 INDEX - $SPX

Monthly chart remains bearish with no buy signal in place on this timeframe.

Weekly chart shows continued weakness and consolidation, as the last three week's trading activity resulted in a hammer, doji and spinning top. No buy signal in place on this timeframe.

Daily chart shows continued weakness, with the bulls losing their initial gains to the bears as the trading week drew to a close. Look for continued weakness and a test of the low at the very least.

$INDU Update for 12.21.2008

DOW JONES INDUSTRIAL AVERAGE INDEX - $INDU

Monthly chart continues to show weakness with no buy signal in place on this timeframe.

Weekly chart remains weak, with the past three weeks of trading activity resulting in a hammer, doji and spinning top. No buy signal in place on this timeframe.

Daily chart shows weakness the last three days of the week, with the bears erasing the initial gains of the bulls early in the week. Look for continued weakness and a test of the current low at the very least.

$NDX Update for 12.14.2008

NASDAQ 100 INDEX - $NDX

Monthly chart shows index remains well below all key moving averages and the down trendline in place. Bottoming tails on the last three candles shows short term support is in place. However, the bulls can't seem to get much traction to take the market higher, despite the short term support being in place. No buy signal/pattern evident on this timeframe.

Weekly chart shows last week's trading session resulted in a doji candle pattern, indicating indecision between the bulls and the bears. Index remains below all key moving averages. No strong buy signal/pattern evident on this timeframe.

Daily chart shows suport term support in place. While the market is making higher highs and higher lows, the price action indicates consolidation/trading range pattern being traced out. Look for major resistance to be at the October 14, 2008 high.

$SPX Update for 12.14.2008

S&P 500 INDEX - $SPX

Monthly chart shows continued weakness, with the index remaining well below all key moving averages and the down trendline in place. Bottoming tails on the last three candles indicates short term support in place. However, there is no conviction by either the bulls or the bears. No buy signal/pattern evident at this time.

Weekly chart shows last week's trading session resulted in a doji/spinning top candle pattern, indicating indecision between the bulls and the bears. The traders ended last week's trading session pretty much where they left off the week before. Index remains below all key moving averages and all down trendlines in place.

Daily chart shows short term support in place, with the bulls struggling to take the market higher. Short term trend is up, as we have higher highs and higher lows. However, price action indicates consolidation/trading range pattern being traced out. Look for major resistance to be at the October 14, 2008 high.

$INDU Update for 12.14.2008

DOW JONES INDUSTRIAL AVERAGE INDEX - $INDU

Monthly chart remains below all key moving averages and the down trendline in place. Bottoming tails on the last three candles indicate short term support in place. However, despite the short term support, the bulls have not been able to get much traction to the upside. This is looking more and more like a consolidation/trading range pattern being traced out. No buy signal/pattern evident on this timeframe.

Weekly chart shows last week's trading activity resulted in a doji candle pattern, indicating indecision between the bulls and the bears. The bulls and the bears managed to close the week pretty much where they started, which also happens to be where they closed the week before as well. Index remains well below all key moving averages, as well as all the down trendlines inplace. No strong buy signal/pattern evident on this timeframe.

Daily chart shows short term support holding for now, with the market tracing out higher highs and higher lows. However, there isn't much conviction either way. Price action indicates consolidation/trading range in place. Look for resistance to be at the October 14, 2008 high.

$RUT Update for 12.05.2008

RUSSELL 2000 INDEX - $RUT

Monthly chart shows bottoming tails into support. All three downside targets have been hit. Index remains well below all key moving averages and the down trendline in place. Perhaps the market will consolidate for a bit now. No buy signal/pattern evident on this timeframe.

Weekly chart shows the bulls managed to cling onto their gains made the week before. There is an aggressive buy signal/pattern in place on this timeframe. Look to lower timeframe charts for better sense of short term direction.

Daily chart shows the bulls managed to close right on the high of Friday's trading session. We need to look for follow through next week, and to stay above current resistance in order to have a larger upside move.

$SPX Update for 09.21.2008

S&P 500 INDEX - $SPX

Monthly chart shows regular divergence developing with the lower low made this month. Bottoming tails indicate aggressive buying, where the bulls managed to regain most of the ground that was initially lost this month. Index remains below both the 8ema and the 34ema. The bulls managed to close the index right at the March 2008 low. No buy signal/pattern evident on this timeframe as of yet.

Weekly index shows a long legged doji being created with last week's trading activity, indicating indecision between the bulls and the bears. No buy signal/pattern evident on this timeframe yet. Look to next week for better sense of direction.

Daily chart shows that the consolidation/trading range finally broke down to a lower low, where aggressive bulls found support off the 1.618 fib area. This pattern created a bullish butterfly pattern, where bulls came out in force after the bailout of AIG and the temporary banning of short selling of 799 financial stocks. Look to next week's trading activity for better sense of longer term trend.

$INDU Update for 09.21.2008

DOW JONES INDUSTRIAL AVERAGE - $INDU

Monthly chart shows lower low made, where the bottoming tails indicates support and buying from aggressive bulls. While the index has sold off and made a new low, the market managed to regain most of the losses made during the month. Index remains below the key LIS and important level of 11,750.28. No buy signal/pattern evident on this timeframe as of yet.

Weekly chart shows regular divergence with the lower low made this week. The trading activity left the index closing pretty much where it opened for the week. The candle pattern, long legged doji - indicates indecision between the bulls and the bears. Index remains below the January 2008 low for now. No buy signal/pattern evident on this timeframe at this time. Look to next week's trading activity for better sense of longer term sentiment.

Daily chart shows that the initial three wave consolidation pattern finally broke down. The market found support near the 1.27 fib level, completing 5 waves down. The pattern created with the 1.27 fib support level created a bullish butterfly pattern, where the index rebounded strongly, after the AIG bailout and the temporary banning of short selling in 799 financial stocks. Current resistance is right at a .382 fib level. We are not out of the woods yet, as the market could still be stuck in a large consolidation/trading range. What we have is probably a tradeable bottom for now.

$NDX Update for 06.28.2008

NASDAQ 100 INDEX - $NDX

Monthly chart shows this index still to be above an up trendline in place. However, the chart is shaping up to make a lower market structure high. So far, the bears have taken back most of the gains made in the last two months.

Weekly chart better shows the lower high made in the first week of June 2008. Currently the index is below all its key moving averages on this timeframe.

Daily chart shows that the bears gapped down the open of Thursday's trading session, in their haste to exit their positions. This created a kicker signal pattern, indicating the major change in investor/trader sentiment. Friday's trading session resulted in a doji candle pattern, indicating indecision between the bulls and the bears. Look to next week's trading session for better sense of direction. Will the market retrace before heading lower, or will the selling pressure pick up quickly?