SPX - Uptrend channel resistance

Discussion in 'Technical Analysis' started by Trader.Fighter, Aug 5, 2013.

  1. Thank you for your insight, will do some work on what you suggested.
     
    #11     Aug 5, 2013
  2. I would strongly respect the top of that channel.
     
    #12     Aug 6, 2013
  3. Josef K

    Josef K

    I tried drawing this same channel on my charts but I wasn't able to. I was confused for a minute, but then realized that the reason for this is because I'm using log scaled charts and you're using linearly scaled charts. Attached is what the weekly looks like using log scaling.

    Using log scaling, if we draw the bottom channel line using the two points you chose, and make the parallel line cross the high on 4/26/10, then we're closer to the bottom of the channel then the top.
     
    #13     Aug 7, 2013
  4. After mid August, the mkt just cannot help itself and tank. =)
     
    #14     Aug 27, 2013