EliteThink
Registered: Oct 2002
Posts: 782 |
01-04-12 06:37 PM
This is a place members can state their views on where the market is heading over various time frames. I like to discuss 1 week, 1 month and 3 month time frames. The purpose is not to create conflict of opinions but a place where individual analysis can be explained for many to benefit. Preferred format would be daily short posts of market viewpoints, with possibly some positive feedback.
1/4/12
Happy New Year, the markets opened with a bang yesterday with a significant gap up. With yesterday's move, the December double top was taken out, as well as the November's high. October's high is still in tact. 10 trading days ago spx was at 1200 so it may be a little overextended. The ATR has also compressed significantly, which may indicate we are topping out, and a move beyond 1300 will come, at the earliest, after another pull back and gap closure from yesterday. The 200 day ma continues to drop fractionally, the techs have broken out of their wedge patterns to the upside and the dj30 is at a 6 month high, typically considered bullish patterns. If 1307 is broken to the upside, there is very little resistance before 1350. SPX continues to follow the sentiment of the EUR/USD, so it is quite likely volatility will come back in a big way once European headlines come into focus again. This weeks projected range is 1250-1290 with a 1 month target of 1300. 3 month target is 1325.
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