SPX 30-Minute 8/34 MA Cross Diamond and Sideways Symmetrical Triangle Patterns

Lots of drama in the markets right now with an up or down decision required. The bulls are trying to push higher this morning with a 5 to 7 handle pop on tap for the opening bell. Curiously, this is against a back drop of copper collapsing, oil and other commodities dropping, and the fertilizer stocks getting crushed. PFE and MRK beat by a penny but do not add much to the enthusiasm. Traders likely look forward to more easy money this week from the Fed, BOE and ECB. The 8/34 cross occurred twice yesterday, down, then back up. This rarely happens. It verifies the ongoing indecision in the markets. For now, the 8 MA is 19 pennies above the 34 MA signaling bullish markets for the hours ahead. The 8/34 cross will indicate the path forward.

The dark blue lines show how price came off the top a few days ago and created a diamond pattern. The right half of the diamond is also a sideways symmetrical triangle and the price action reflects the ongoing indecision. Ditto the indicators squeezing in sideways for a decision. Today appears to be decision day. For the patterns, a move of 12 to 16 handles higher, or lower, is on tap. Each time in the recent past the bulls always win the decision. The upside move would send price to 1700+, the downside move would send price to the 1670-1672 support. Money flow hints at a a move down but the futures are being goosed this morning. It is a coin flip. Watch the 8/34 cross which tells you the market direction forward. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.