Enviado: 30/10/2005 17:55The S&P 500 continues to consolidate below the new 1200 resistance level. The narrow range indicates continuation of the secondary correction, but frequent tall blue candles, accompanied by strong volume, alert us to the presence of buyers. A close below support at 1175 would lead to a test of primary support at 1140, while a close above 1200 would signal the end of the secondary correction.
The index is consolidating below the lower border of the bearish rising wedge pattern. An upward breakout would be likely to test the upper border of the pattern, while a close below the low would indicate that primary support at 1140 is under threat. The target for the downward breakout is 1000: 1200 - (1240 - 1060) = 1020; confirmed if primary support at 1140 is broken. Twiggs Money Flow (21-day) signals strong distribution with a peak below the zero line.
The Nasdaq Composite is headed for a test of the lower border of the bearish rising wedge pattern, while Twiggs Money Flow (21-day) signals distribution. A close below lower border of the rising wedge pattern would be a bearish sign, while a fall below 1900 would confirm the start of a primary down-trend.
The index is consolidating below the lower border of the bearish rising wedge pattern. An upward breakout would be likely to test the upper border of the pattern, while a close below the low would indicate that primary support at 1140 is under threat. The target for the downward breakout is 1000: 1200 - (1240 - 1060) = 1020; confirmed if primary support at 1140 is broken. Twiggs Money Flow (21-day) signals strong distribution with a peak below the zero line.
The Nasdaq Composite is headed for a test of the lower border of the bearish rising wedge pattern, while Twiggs Money Flow (21-day) signals distribution. A close below lower border of the rising wedge pattern would be a bearish sign, while a fall below 1900 would confirm the start of a primary down-trend.
