Continuing on gold’s ascent from the Monday, March 21, 2016 post, GLD (SPDR Gold ETF) is appearing to recycle its TD counts on the daily chart. After a minor pullback which GLD never closed below the designated 115.86 TDST Support Level, it is now powering through new highs, and this should continue. Note that on the daily chart, 13’s were recorded, in particular TD Sell Countdown. Considering the TD Sell Countdown @13 were recorded inside of the range of the previous TD Sell Setup, this is a low probability 13 and it should be ignored. On the weekly chart, GLD moves to TD Sell Countdown, suggesting the uptrend is firmly in place – all due to the global central bank quagmire.
For the equity markets, the recent selloff has been on a minor scale. However, with the anticipation that volatility will increase, the near and intermediate term outlook is bearish. Big economic reports this week include European and China PMI’s and US job numbers.
S&P 500 (SPX) SHORT TERM OUTLOOK: BEARISH
Neutral if SPX closes above 2076.14 at the close.
The technical difficulties from last week has been addressed. An inadvertent TD Sell Setup was recorded which threw all levels off course. However, the problem was not large enough to change the outlook. Currently the TDST Support is at 2010.04. That’s the level which will determine bull/bear polarity.
S&P 500 (SPX) SHORT/INTERMEDIATE TERM OUTLOOK: BEARISH
Neutral if SPX closes above 2091.70.
S&P 500 (SPX) INTERMEDIATE/LONG TERM OUTLOOK: BEARISH
Neutral if weekly SPX closes above 2047.60 on Friday, May 6, 2016
S&P 500 (SPX) LONG TERM OUTLOOK: NEUTRAL
Bullish if monthly SPX closes above 2107.29 or Bearish if monthly SPX closes below 1940.24 on Tuesday, May 31, 2016