SPI Daily 20th July 2009 recap

"SPI is heading higher in July.

Trend guide:- trade longs above 3979 UP.

Random resistance 4021"

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SPI Weekly and 5-day pattern

Last Friday was rising up from 3965 so there was a bias to follow the 5-day pattern higher today, with a medium term view of heading higher in July.

Normally we would look for a reversal downward because of the higher weekly open, along with the expectation that price would reverse down into support and then continue higher into a higher Weekly close by this Friday.

But because last Friday wasn't reversing down from the 5-day highs, Monday foten continues higher and follows the 5-day pattern range upwards based on the overall trend of the 'Thrust pattern'

Today there was a bias to move upwards, but around 4021 was a similar pattern as last Friday (3965) where price consolidates around the value area.







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