SPI 4th December 2008 recap.

"I've been bearish this week based on the higher timeframe patterns, but US market's price action on Wednesday has changed this.

At this stage I'm leaning to higher prices into Friday.....

Simply trade on the side of the 5-day 50% level

Below the 5-day 50% level and it's obvious that the Aussie market isn't following on Thursday"

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SPI Weekly and 5-day pattern

Higher open due to US markets up move on Wednesday and my expectation that whilst price was above the 5-day 50% level the market was moving higher into Friday.

Once back below the 5-day 50% level, the market was once again following the overall trend down.

As mentioned in the US market recap below, the daily HOOK over the Weekly 50% level on the DOW can send the market higher into Friday.

However, the S&P failed to HOOK over the Weekly 50% level, and along with two inside days within Monday's overall trading range, US markets can easily follow a 2-day down move on a break of support on Thursday.

Basically Thursday's support will determine the trend over the next two days, as it follows the 5-day dynamic range outward.




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