SPX made it most of the way to my target area but I’m not certain it’s going to make it the rest of the way. 60min buy signals are already brewing on ES, NQ and TF. I’m ideally looking for a lower RTH low on SPX, NDX and RUT, but it’s possible that the lower lows already made in globex will be enough. SPX 60min chart:
NDX has already tested the obvious support trendline. Significantly lower in RTH would break that. NDX 60min chart:
RUT too has tested the obvious (falling channel) support trendline. That’s decent looking support and a decent break below might follow through to the downside. RUT 60min chart:
Globex was an adrenaline-fuelled rollercoaster but has ended up pretty much back at Friday’s close. I’m leaning towards slightly lower lows in trading hours and if so we would most likely make an AM high that fails into that. After that I’m favoring a decent rally.
I’m assuming that we won’t see any big declines this month due to seasonality. I could be mistaken about that and did a post yesterday looking at the very bearish looking bigger picture setup. you can see that here.
Stan and I are doing a free to all special webinar on Thursday after the close at theartofchart.net with our take on what’s likely to happen in 2016 across equity indices, forex, commodities, precious metals etc. We’ll also be reviewing how we did on our forecasts last December. You can register for that here. Spaces are limited so if you want to attend I’d sign up sooner rather than later.
