Monday, November 19, 2012

SPX ~ Pre-Market ~ 19 November 2012

On Friday the SPX almost hit my main target (1330) for this decline. We reversed just above 1340 though and are now already at around 1370 in pre-market. As you can see on the chart 1373 is a pretty strong resistance level and if we breach it the decline is most likely over for now:

As you can see I placed the "turn-from-bearish-to-neutral" level at 1390 and not at 1373. I actually considered placing it at 1373 but for now I left it at 1390. Depending on how the market reacts after the open I'll lower the level down to 1373 though and cover my medium-term position above 1373.

Edit: Convincing break above 1373 => medium-term neutral again.