good morning -today is series s3H NORMAL and the SPILL PRESSURE is DOWN There are two charts in the box–Friday’s 5 min SPX (ESU14:CME) is chart 1 and the on for today showing Fridays’ action is chart 2.
This was the last paragraph from Friday:
“Ok, on defense today the BULLS want to hold 1948.5 SPOT, NEED TO HOLD 1942.5 and MUST HOLD 1938.5.Overhead they have the 1956 SPOT and a tight band from 1961.5 YELL to 1963 SPOT staring them in the face..SPOTS, TA , ROUNDIES…”
The market rejected the first pass at the YELL 1961.5 (actual 1961) and like Charlie Daniels said “that train was running right on time”..The break of the 1959.3 OPENING drove price down through the PEEAN double bottom at the 1956 SPOT and proceeded to puke down to the 1942.5 SPOT.THIS IMMEDIATELY reversed price back to the 50 roundie-52.5 SPOT resistance band that encompassed both the TIGHT T’S and the DAILY PIVOT.From there we went to the LOD at the 1938.5 .The ensuing rally went to the pre-id in real time back to a test of the 1948.5 SPOT with actual high at 1948.The 1942.5 is NOT A SPOT BUT WAS KEYED UPON in commentaries and real time posts quite often last week.Once 1948 rejected price the mid p.m. low found support smack dab on the 1942.5 …From there it became an issue as to what type of last hour high the bulls would go after. (SPU14:CME)
Would it be weak and stumble in the 1948.5 SPOT , go after the 1952.5 SPOT , or eviscerate the bears with a zoom to the scene of the crime at 1056 SPOT.The wedge zoom (wedge 1948 down to the 1942.5 SPOT) started of with a true zoom to 1952 but then went wheezy and crawled back to the 1952.5 SPOT where we closed-imagine that.
Ok, when Sunday opened it was at the 1956 SPOT –tEXTRACT THE PRICES!!!!
The news driven DUMP was faster an more violent that the idea of ii of 3 blood red show on the Friday chart and that is not atypical.Of course the 1963 CONFIRMED has not been converted to SUPPORT and the bears will still view this as Back B in motion and possibly seale or a 2nd wave high.
ALL of this puts us right where we were coming into Friday: the BULLS need the market to 1963 hard support by going after a iii of 3 of RED (5) move.Job 1 for the BULLS on going though 1963 SPOT is to take out 1968.41 cash price where the second leg up from 1900 spoo and 1904.78 SPX CASH will be equal to the first leg up.Because this should be within the context of a iii of 3, the Bulls are in a MUST PERFORM of sorts for the most bullish take on the chart.This means Friday’s low must be held sacrosanct for that count to be right.The Most important price on the chart currently is the 1924 , 1928.29 CASH and the BEARS are once agian on the hot seat in dire need of sealing a B or 2 .They will fight it all the way up to new all time highs IF THEY ARE WRONG..SPOTS TA ROUNDIES…I threw in an updated 15 min SPX for good measure..
FV -3.33 NUMBAHS S3H NORMAL 08/18/ 2014 SEPT 2014 contract