Sunday, June 3, 2012

Respect this Market

First


The first chart shows the volume and you can see clear direction and capitulation in the past however in the near month no such blow out meaning the market can go lower or we need some heavy volume for direction.
Monday I expect us to move higher for one day UNLESS we are following the pattern of 5-15,16,17th where we just kept closing at or very near the LOD.

I guess we know Adam from Bloomberg. He posted a price of 1193 Spx based on 2011 actions.
On my chart I have a retrace of .0618 or 1207 Spx so very near his target. He based that on 2011
something that Hadik mentioned on his free letter following an 8 week cycle.
My thoughts after this sell off we could rally but I think that is a week ahead of us less indicator give direction volume and price.
Jerry O



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