Market Overview



Today I will start with SPY - SPDR S&P 500 ETF . Since the low of 129.55, where the sub Fibonacci level at 129.66 was positively tested, the Price has been steadily rising from the base of a short term descending channel . The upper trend line is parallel with the lower trend line which was  defined  by the points EW 1 and EW 3 .

The Indicator a combination of EMA 5 and WMA 13 is approaching a positive crossover which will confirm the BUY condition.

The Birds [ ] are showing the following :

  • CCI 6 : Has crossed back below the +100 level and is probably the result of the negativity in the last session or it may be indicating that there is a minor correction underway;
  • CCI 20 : Having risen above the -100 level this Bird is indicating a BUY condtion;
  • CCI 50 : This Bird is still well below the -100 level and is still on a SELL . However, the indicator has been steadily rising and may test the -100 level in the next session. A break above would confirm BUY conditions and a rejection at that level would confirm the SELL condition.

I believe that the Price of SPY is headed for a target level of 136 +/- for the following :

  • The upper trend line intersection is at 136 +/- ;
  • If EW 4 is equal to EW 2 then the target level is : 129.55 + 6.45 = 136.00 ;
  • The target level coincides with the Fibonacci levels L1AF500 : 136.32 and L1DPR180 : 135.95 .

It is expected that once the 136 +/- target level has been attained then there will be a reversal that will take the Price back down towards the lower trend line of the descending channel.


Posted-In: ETF EW Fibonacci SPDR S&P 500Long Ideas Global Markets Trading Ideas


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