Going back to previous post on Tom DeMark’s S&P 500 (SPX) forecast, the call was for the SPX to hit 2213.15 by last Wednesday, November 16, 2016. The source of that level would be a 2nd degree TD Trend Factor. It’s not entirely clear on why he chose Wednesday as a high other than it would have been a TD Sell Setup @8, which would have ‘perfected’ the count. However, it would have been just as well to say ‘Wednesday or Thursday’.
Nevertheless, the daily SPX has a qualified TD Sell Setup @ 9 on Thursday, but far short of his 2213.15 target. However, the 2213.15 TD Trend Factor is still viable. It may just take a different path. Also the weekly SPX closed just shy of recording a TD Combo Sell @ 13. It could do this week, but the active weekly TD Sell Setup @ 2 has solid momentum. It would not be surprising to see the weekly TD Sell Setup push to a 9 count. If the SPX does not respect the 2213.15 level, the next TD Trend Factor higher will be 2323.89. But let’s take this one step at a time as the window for a reversal has just begun.
S&P 500 (SPX) SHORT/INTERMEDIATE TERM OUTLOOK: NEUTRAL
Bearish if SPX closes below 2180.39 on Monday, November 21, 2016.
There is a risk of alternating price flips higher, but the greater risk is to the downside.
S&P 500 (SPX) INTERMEDIATE/LONG TERM OUTLOOK: NEUTRAL
Bearish if the SPX closes below 2126.41on Friday, November 25, 2016.
S&P 500 (SPX) LONG TERM OUTLOOK: BULLISH
Neutral if monthly SPX closes below 2173.60 on Wednesday, November 30, 2016.