Day Traders, Penny Stocks, Stock Options, Futures and Forex

SP500 – Positive signal needs confirmation

The SP500 produced an Uptrend Acceleration signal, which will remain in play with all trading above the 908 Inflection Pivot.

An Uptrend Acceleration signal is when the MKT has been trading in a digestive state and takes the 1st step in transitioning to a more aggressive Bull Trend posture. Under the current technical conditions this signal will remain true above 908, which is the ideal entry area for any longs today.

Keep a positive outlook above 908 expecting a challenge to the 926.50 resistance pivot. If the signal is going to fizzle the rally will top out here. A held violation of 926.50 puts the MKT in an bid posture but a breach of 931.25 is needed to give the acceleration signal its due targeting 962.50 on the initial move.

A break under 908-907.25 negates the positive signal and turns sentiment sour targeting 889.50 on any negative turn of events. This sell off can slide as low as 971 without sounding off any alarms. Only under 962.50 are the Bears back forecasting a return of the fear factor.

Acceleration signals have the potential to be the kick start to a new move. The danger is that the the signal was false and a counter reaction is produced. By entering at qualified Inflection Pivots you reduce this risk and improve your odds of success.


John Slazas

Attached Images

1 BLOG SP JUL 2 2009.jpg (15.0 KB, 1 views)

the GdP #s will likely be beat tmw. I dont understand how the estimates didnt change from first look GDP after they were beaten by more than a half pt. We could see upside to 1120. anything after that is just setting us up for a major crash once again.

the market looks sheepish at the moment. I look for a slow uptrend up to 1050. After that I think its time for a retracement. I cant think of any news that could bring us up higher then that, considering that the momentum has slowed so much.

I am turning bearish going into September, historically the most bearish month for the stock market. October has always been a very volatile moth for the markets too.

however i do feel the bear market is over, i do think a pull-back to retrace at least 38.2% of this run from the march lows bring us roughly to the 850 - 900 area in the S&P 500, a nice 120 - 170 pt move.

I agree with that! Today we got a nice close below 1000 on well above average volume. It will take Mary, Joseph and Jesus to keep this thing up now.

I am still short the S&P here, but it has run further than i thought it would. I originally had my stop at 1020, but moved it up slightly higher than the previous high og 1040 ish to maybe jeject at the double top

It seems like you just cant make money being a bear nowadays

this is insanity! after we start getting info economic from the 3rd quarter im sure we will be brought back to reality in terms of stock valuation.

I am really concerned about this parabolic expansion in the money supply. i hate to say it, but i have to side with all the gold/ silver bugs out there. Its the only true secular bull market we have.

there is some great anlyses and commentary at Lebed.biz this is the blog of the genius stock trader Jonathan Lebed who made $800,000 trading stocks in the tech bubble when he was 15!! i wwas up to 4am one night reading through all his spooky abut dead on market predictions (gold, oil, then housing, then lehman).

let the sell off begin...It would have been nice to see a close under 1050. Will have to wait to see what tmw brings

looks like it bounced yet again off the 20d EMA, no telling how long this madness will go on for