We've previously mentioned the long-term retracement rally that the market is having from the September 2007 highs to the March 2009 lows. You can see the S&P 500 (SPX) Weekly Chart below with Fibonacci levels drawn from the High and Low retracement.
The market struggled a bit around the 38.2% retracement, but looks to have overcome that. The obvious next target is a 50% retracement, which is 1121. Keep an eye peeled as we approach that level. The current rally looks to have easy upside to there, but that is a logical place for a pause and/or reversal lower.
SPX Weekly Chart
The market struggled a bit around the 38.2% retracement, but looks to have overcome that. The obvious next target is a 50% retracement, which is 1121. Keep an eye peeled as we approach that level. The current rally looks to have easy upside to there, but that is a logical place for a pause and/or reversal lower.
SPX Weekly Chart
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Is this prospect a straddle or strangle possibility? I don't know, I'm too inexperienced to ascertain if these or some spread strategy may be a way to go.
William