Monday, October 26, 2015

The Fed will release another monetary policy statement this Wednesday. Again, it is low probability event as the Fed Funds rate is pricing in no rate hike. This will lend support to the S&P 500 (SPX) to keep prices afloat. Technically, the SPX has retraced a Fibonacci 78.6% from the low made back on August 24, 2015, and now it’s time to see how the SPX will handle the price exhaustion signal on the SPX short term 4 hour chart. A pair of 13’s should cap the rally in the near term, but as long the daily SPX keeps its TD Sell Setup intact, any corrective price action should keep the overall rally intact, supporting the expected Fed action this Wednesday.


S&P 500 (SPX) SHORT TERM OUTLOOK: BULLISH

Back to neutral if SPX closes below 2052.61.

Screen Shot 2015-10-24 at 8.26.21 PMA simultaneous TD Sell Countdown @13 and TD Combo Sell @13 has been recorded last Friday. This is the point to be cautious in the short term.


S&P 500 (SPX) SHORT/INTERMEDIATE TERM OUTLOOK: NEUTRAL

Going to bearish if SPX closes below 2030.77.

Screen Shot 2015-10-24 at 8.32.53 PMWith the 4 hour SPX signaling price exhaustion, watch to see if the current TD Sell Setup can stay intact for further gains.


S&P 500 (SPX) INTERMEDIATE/LONG TERM OUTLOOK: NEUTRAL

Neutral until further notice. 

Screen Shot 2015-10-24 at 8.33.12 PMCurrently not buying this rally in this timeframe.


S&P 500 (SPX) LONG TERM OUTLOOK: BEARISH

Switch to neutral if SPX closes above 2063.11 on Friday, October 30, 2015.


Advertisements
This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s