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Thread: Trend Line Trading

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#250 (permalink)

07-03-2009, 07:14 AM

Joel Kruger Joel Kruger is offline

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Join Date: Oct 2003

Posts: 153

S&P 500

S&P 500: We are not recommending any trades on the holiday lightened session of trade and instead will take the opportunity to broaden our scope outside of currencies to take a look at developments within the equity markets. A closer look at the daily S&P chart shows the potential formation of a head & shoulders topping pattern which looks to be in the process of carving out the right shoulder and on the verge of a break of neckline support by the 880 area. Look for a close below 880 to confirm and open the door for a more significant decline over the coming days back towards a measured move pattern objective by 800. As things have been correlating of late, any pickup in equity selling could very well translate into additional broad based USD buying on a flight to safety mentality trade.

Happy 4th!!

All my best,

Joel

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