SHORT-TERM: IN WAIT AND SEE MODE, THE LOW COULD HAVE BEEN IN THOUGH
The bottom signal given by 0.2.1 10Y T-Bill Yield mentioned yesterday may be right again this time. Although from the strong rebound of the Dollar as well as the near all time high OEX Open Interest Ratio, it’s very hard to image that the low was in. But since the price pattern has the highest priority so will have to temporarily pretend to be a bull (whether I believe or not). Unless tomorrow down sharply again to form a so called reversal of reversal of reversal pattern which is commonly seen on an important top.
An Ascending Triangle or Rectangle could be in the forming on QQQ chart so chances of continuing high are very good.
And the Bullish Reversal Bar formed on SPY daily chart today looks bullish too. Ever since the March 2009, there’s only one case that we’d see a lower low tomorrow. So I wouldn’t hope for a reversal of reversal of reversal tomorrow.
INTERMEDIATE-TERM: SPX NOW IN 1352 TO 1381 WAVE 5 PRICE TARGET AREA, WATCH FOR POTENTIAL REVERSAL
See 05/06 Market Outlook for more details.
SEASONALITY: BULLISH MONDAY
According to Stock Trader’s Almanac, Monday after Mother’s Day, Dow up 12 of last 15.
For May seasonality day by day please refer 04/29 Market Outlook.
ACTIVE BULLISH OUTLOOKS:
- 09/27 Market Recap: 9 POMO within 20 trading days means 14%+ up in 3 months.
- 03/11 Market Recap: Bullish in 3 to 6 months.
- 04/21 Market Recap: QQQ weekly Bullish Engulfing is bullish for the next 6 weeks.
ACTIVE BEARISH OUTLOOKS:
- 04/21 Market Recap: SPX will close below 04/20 close soon.
- 05/05 Market Outlook: No –1,000 TICK on almost 1% down day, so 05/05 low will be taken soon.
- 05/06 Market Outlook: Bearish in 2 weeks.
HIGHLIGHTS OF THE OTHER ETFS IN MY PUBLIC CHART LIST:
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