A 1.4% drop from the highs in the SPX is not the price correction everyone is waiting for and the markets have not gone sideways enough to declare a correction in time. Caution is still warranted.
S&P 500 (SPX) SHORT TERM OUTLOOK: NEUTRAL
TD Buy Setup for the 4 hour chart has officially been annulled and the rally that started in late December is still intact. Unless the SPX closes below 1826.64 to trigger a potential deeper selloff, the market should continue to trade sideways. More patience is needed.
S&P 500 (SPX) SHORT/INTERMEDIATE TERM OUTLOOK: NEUTRAL
It is not difficult to tell by the TD Buy Setup 1 through 4 bar formation, the current TD Buy Setup@4 is about ready to neutralize. However, a close today below SPX 1826.64 will give the clearest indication TD Buy Setup will record.
S&P 500 (SPX) INTERMEDIATE/LONG TERM OUTLOOK: NEUTRAL
Bearish if SPX weekly closes below 1805. If outlook remains neutral at the end of the week, stops will gradually rise along with a potential change to bullish. (updated January 6th)
S&P 500 (SPX) LONG TERM OUTLOOK: BULLISH
Will flip back to neutral with a monthly close under the January price flip level of SPX 1681.55. (updated December 1st)