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Monday, November 10, 2014

S&P 500 - Triple Screen 'Technical Analysis' - Hanging Man with a Broadening Top 2 - Week 2 of November 2014.



S&P 500 - End of  Month Chart (EOM) - Channel analyzing Data from mid 2009, onward - as on 07 Nov'14


S&P 500 - End of  Week Chart (EOW) - Channel analyzing Data from Aug'2011 onward - as on 07 Nov'14


S&P 500 - End of  Day Chart (EOD) -  Channel analyzing Data from Jan'14, onward - as on 07 Nov'14





Learning from last Week:  (click here for the previous post)

Patterns:
  • October Candle the Green Hanging Man #M1, produces a Bullish Continuation for now.  
  • Index rises from the Day Channel Bottom to ATH - Possible Broadening Top (see Megaphone pattern) in progress on the Day Charts #D1.
Support & Resistance:
  • Bulls after defending the Month channel bottom on the EOM #M1, get a new ATH #D1.
  • Bears now defend the megaphone pattern top #D1 and EOW Channel top #W1.
Moving Averages:  
    • 5 EMA and 13 SMA, touch and make a Bullish Cross #W1.
    Indicators:
    • RSI 13 still in the 60s, divergence to price seen #W2.

    Wrap:
    Bulls take off from the Long Term Channel bottom #M1 with a weekly Hammer #W1, and now top the chart with a monthly Hanging Man #M1. 
    Bears defend the Megaphone top #D1.




    Looking forward into this Week:

    Patterns:
    • Hanging Man (Study Links herehere or elsewhere) active in the Long Term screen #M1.
    • Broadening Top (Study Links herehere or elsewhere) forming on the Day Chart needs to be watched #D1.
    Support & Resistance: 
    • Broadening Top Pattern's Top line #D1, and the new All Time High (ATH) are resistances.
    • The 5 EMA on the weekly charts (1990) is the current support #W1.
    Moving Averages:
    • The Index is currently above all the MAs that we track.
    Indicators:
    • TSI holds above the 76.4% Fibonacci retrace #M2.


    Wrap:
    Bulls after hammering their way to a new All Time High (ATH), with some help from the Broadening Top #D1, negotiate the Hanging Man now.
    Bears pray the Broadening Top and Hanging Man Combination works in their favor.