SPI Daily 1st February 2011 recap

Because of the current levels in the Weekly and Daily range, my view is that Tuesday can remain range bound between 4746 (high) and 4709- (low)

Trend guide 4740

 

SPI Weekly and Daily range

The SPI has struggled to rise higher than key levels in the Daily range. (4740), and has drifted back down towards the lower support levels.

Even though the market  remains above the monthly 50% levels, it is the price action in the S&P 500 overnight that’s going to determine whether there is more weakness.

As per US report put out at mid-day today…..


Therefore if it follows my gut feeling of reversing down, then the S&P will hit 1286.50 to 1289.75 and reverse down, with a minimum move @ 1274.75...

And then with the possibility of moving back down into the Weekly lows @ 1255 later this week


So far the S&P hit a high @ 1288 during globex hours, and there has been some minor selling,

It will now just need to move back below the Weekly 50% level.






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