SPI Monthly and Weekly ChartsBreakout of October lows and SPI continues down towards the Weekly
lows @ 3703
Ideal pattern would be for the SPI to find some support around the
Weekly lows today, and then look for the first sign of a counter-trend
move from Wednesday back towards the Weekly 50% level.
This will only occur if US market lead, but the first sign will be price
trading above Monday's highs.
This scenario will lead a swing back towards the November 50% level,
which will also drag the November lows higher by Next week.
The Trend guide for next month will be simply defined by the Monthly
50% level, with the potential to continue down into November lows.
Note:- there is a breakout of October lows, a retest and reject
pattern of the break:- This often leads to a push down into the next
Months lows:- thrust pattern and continuation of the trend.
Therefore even if there is a counter-trend move later this week, there is still
the expectation of price moving down into November's lows.
If this week continues down (below 3703) then already we can see how far November can continue to go next month (3484)......
SPI Weekly and Spiral filter 16:30SPI didn't hit the Weekly lows @ 3703 precisely, but with 2.50pm
short-covering coming into the market and pushing the market back
towards Monday's highs....
As mentioned in the Premium Report:- 2.50 pm short covering and ideally a retest of 3771 and then more short covering into the close
In my opinion it sets up a rotation back towards the Weekly 50%
level.
Now whether US markets do the same on Tuesday, and we open much
higher tomorrow, or not....
3852 was my Weekly bias on Monday and will remain my trend bias for this
5-day pattern.
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