Sunday, June 3, 2012

S&P 500 - Triple Screen 'Technical Analysis' - Week: 28 May to 01 June 01 2012 - Middle Caves in..

Learning from the Past Week:
Our view last week (click) was that the Bulls had to keep the index above 1300 for May 2012 - They did.
We said that the Bears would attempt breaking the MVWAP 34 (EOW) - this also happened.
The middle line of our EOM chart - in blue color - caved in, to the bears.
The full effect of the Three Inside Down that we studied a month ago (click) - is seen with the red on the EOM chart.

S&P 500: Long Term View (or) Month Chart (each candle is 1 month's price move)  (or) EOM Chart: 
S&P 500 - End of  Month Chart (EOM) - 01 June, 2012. 

The STS indicator's stubborn stay in the oversold zone - keeps the Bulls on top in this chart.
MVWAP 34 is the next target for the Bears.
The last 3+1 candles show the 'Three Inside Down' and its result.
Keeping the Index below our Blue Middle line - the Bears have their toe into this screen. 

S&P 500: Medium Term View (or) Week Chart (each candle is 1 week's price move) (or) EOW Chart: 
S&P 500 - End of  Week Chart (EOW) - 01 June, 2012.

The White Weekly channel lines shows, the complete touchdown of the Price line.
After almost perfectly touching the bottom channel line - one looks for a channel break here.
With Index below the MVWAP 34 - the Bears are the new owners of this screen.
The Bearish Engufing seen on the last 2 candles - adds power to the Bearish Three Inside Down on the EOM.

Some reads to refresh our memories on this pattern..and its successor the Three Outside Down
Bearish Engulfing

Three Outside Down

S&P 500: Short Term View (or) Day Chart (each candle is 1 day's price move)  (or) EOD Chart:  
S&P 500 - End of  Day Chart (EOD) -  01 June, 2012.

The highlighted zone, shows the confluence of resistance for the Bears.
A bounce here, would give the Bulls a choice of consolidation, or a bounce towards the Blue middle of the EOM.
Otherwise this screen, continues to be officially Bear, as observed last week.

Looking Forward into next week:
On the EOW one watches for the Bearish Engulfing, mutating into a Three Outside Down.
The EOD resistance shown should give early indication, as to how the week would pan out,
The (s)pain for the Bulls may be greeased over, by above Channel Bottoms.