01 July 2006
S & P 500 - Double Bottom formation Breakout
Yes, the breakout is clear. But encountered resistances at m50 and m150, another resistance is 1290. Index is likely to consolidate in short term before finding fresh strength to forge ahead. Is 1290 the end of the bear rally? The advice is that do not be too greedy.
Weekly chart is still healthy.
Monthly chart shows clearly 5 up waves have completed. A major correction has to come following them sooner or later based on Elliot Wave Theory.
Yes, the breakout is clear. But encountered resistances at m50 and m150, another resistance is 1290. Index is likely to consolidate in short term before finding fresh strength to forge ahead. Is 1290 the end of the bear rally? The advice is that do not be too greedy.
Weekly chart is still healthy.
Monthly chart shows clearly 5 up waves have completed. A major correction has to come following them sooner or later based on Elliot Wave Theory.
