Last Wednesday’s (December 13, 2016) TD Sell Countdown @13 and TD Combo Sell @13 both signaled the top for the daily S&P 500 (SPX) – So far. The small selloff did not materially damage the overall uptrend. If the SPX should deteriorate, the 30 minute and 60 minute TDST Support levels between 2245.96 and 2254.19 should not hold as shown below on the hourly SPX chart.Furthermore, if the SPX should break below the 30/60 minute TDST Support levels, the daily TDST Support at 2191.95 will then serve as the primary support level. Inability to break below that level will suggest seasonal tendencies will dominate with the backing and filling to fulfill the 9 count for the weekly TD Sell Setup. By the way, the weekly SPX can record a 9 count without recording a higher closing high on the daily SPX. It just won’t be perfected.
S&P 500 (SPX) SHORT/INTERMEDIATE TERM OUTLOOK: NEUTRAL
Bearish if SPX closes below 2254.19 and trades below 2245.96 any day this week.
S&P 500 (SPX) INTERMEDIATE/LONG TERM OUTLOOK: NEUTRAL
Bearish if the SPX closes below 2213.35 on Friday, December 23, 2016.
S&P 500 (SPX) LONG TERM OUTLOOK: BULLISH
Neutral if monthly SPX closes below 2170.95 on Friday, December 30, 2016.