SPI Daily 6th August 2009 recap

At this stage we continue to trade the 5-day ranges and price rotation within those 5-day ranges.

Overnight the SPI moved down into Thursday's 50% level @ 4202 and found support.

Either Price moves upwards from this level on Thursday and has a higher Daily close, or price follows the 'spiral top' pattern @ 3237-39 and moves back down into the 5-day 50% level once again and then lower.

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SPI Weekly and 5-day pattern


The SPI continued up from the 5-day 50% level hitting Thursday's highs and stalling.

Today has had the most volatility in the SPI intra-day for a long time, which was good to see, as it allow trader to trade the spiral point & ranges using the filters to take 'chunks' out of the market.

Even though Price had followed the move upwards in early trading from the 5-day 50% level, I wasn't convinced until price had cleared 4239.

The pattern I now want to see is where Friday closes in relation to the August highs and how price reacts to a higher Weekly open.




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