SPI Daily 30th November 2009 recap

"Even though there is a view that price can continue higher in December, whenever Monday opens below the Weekly 50% level my view is that price will continue with a downward bias.

At this stage the trading range is :- 4662 (resistance)

target 4602 and consolidation (random support)

If the SPI opens above 4650, then the bias is to follow the 3-day cycle highs towards 4724+"

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SPI Weekly and 5-day pattern

After last week’s support around the November 50% level and the price action in the US markets, there is a bias to continue upwards in early December.

Because Monday was opening below the Weekly 50% level @ 4950, my view was for the Weekly 50% level to form a resistance zone and push the SPI back down into 4602 and Monday to remain consolidating until the next day when December begins.

However, once price started to trade above 4662, the market was moving back towards the 3-day cycle highs @ 4724.

Late selling into the close, should have the SPI openning around the December 50% levels on Tuesday.



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