Sunday, May 27, 2012

SP500 Long Term

Lets start my Blog with my opinion of the SP500 with a long term chart.

Well, as we can see from 2009, the SP500 Index is Bullish with the normal correcction when the MACD for example turns Bearish in a weekly chart.

Át the end of 200, the Bear structure, finish with the most important structure for chart analyst, Soulder-Head-Shoulder. SP500 have just reach the objetive for that structure.

The Sp500 have move Bullish in a constant upper tendency, with the brown channel as low and high points.

Looks like the SP500 now is beginning a Bearish move, with the Macd selling signal and the price under the MA.

While the SP500 Price doesn´t move up the MA, and the Macd give us a buy point. It´s time for shorts.

I think we are moving downward to the 1.250 level. This the first level to stop the downtrend and buy shorts if we have them.

If 1.250 dosen´t stay then the SP500 will go the low level of the brown channel and the blue Primary tendency Line. This Primary Trend Line (PTL) is important to stand for the whole structure so we can think Bulls can move forward for another move.

If this level dosen´t stay then Shorts will have another golden age.

I think now it´s time for shorts until 1.250 and after longs towards the 1.500 where we can see the end of the Bullish for some time.

Maybe next week we could have some uptrend movement towards 1340-1350. That will be time for shorts again, with a stop in 1380.

Every once in a while i will study if this structure is going on, as i think.

As my first post in this blog, maybe is too long, but its important to aproach the market with a road map, of what is going on and could happen.

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