SPI Daily 9th MAY 2011 recap

This week's trading is based on whether the trend continues down in an orderly manner (Weekly range)

or Whether last week was a 'fake-break'

Trend guide 4755-61





SPI Weekly and Daily range.

The market opened above 4755-61, which was a first sign that the Market was moving into a ‘fake break’ pattern.


The 2nd sign was if the SPI had remained above 4786

The initial move was upwards (11:20am), but it then failed to continue higher, resulting in Monday remaining range bound between the two 50% levels in the daily range, until late in the day, which saw some weakness into the close. (below support)

Today’s price action suggests the market is continuing down towards the Weekly lows @ 4659.

That expectation will be helped or hindered by the price action in US markets overnight.

Currently the S&P is rising up from it's own Weekly 50% level @ 1336, as it remains above it's Support levels. (Read US Index report)


Therefore, the first signs in S&P futures doesn't favour more weakness in the SPI
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