The markets sold off as would be expected but recovered over the last three weeks. The BPSPX printed 58.4 when it reversed so 58.4 + 6 = 64.40 where the bulls can retake control. Alas, the BPSPX printed 64.20 a couple days ago and on Friday closed at 64.00. Close, but no cigar for bulls, yet. Check the BPSPX Monday evening. If the markets rally on Monday and the BPSPX prints above 64.40, the bulls will pop the champagne corks and throw confetti for the smooth sailing higher. If the BPSPX stays under 64.40 and starts to trail lower again, the bears will smile as the markets sell off. 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.
Note Added 12/10/12 at 8:00 PM: The BPSPX printed 64.20 today, only twenty cents away from a buy signal.
Hy KS,
ReplyDeleteAnd I guess a 64.40 bpspx level is equivalent (or might be) with a nominal level of spx of 1421-1423 ?
I tried to find a live chart of bpspx with google, but ... not a single catch :) .
Can you help me please with a link of bpspx chart? (if something like that exists on an hourly basis , not calculated only at EOD of markets)
Thank you,
V.
Or maybe, canyou make an update on Monday if this signal (>64.40 bpspx) occurs?
DeleteThanks,
V.
Hey V
DeleteTry this link
http://stockcharts.com/h-sc/ui?s=$bpspx
KS put me onto this a few weeks back and this site has all the charts that KS mentions in his update.
James
Thanks James.
DeleteV.
Last but not least, I know it's not something serious but I discovered this link where a certain position is sustained (on astrological basis) :D ...
ReplyDeletehttp://changeintrend.wordpress.com/2012/12/06/sp-129-ceres-36-cycle/
as per this link due to a metaphysical cause ( :D ) occuring on 09.dec.12 with Ceres SPX might experience the same hard selling as gold and oil ...they (person that posted that and the persons that posted there) sustain that on Friday and maybe on Monday/Tuesday (next week) a hard reversal on spx might occur ...
Starting from this link (and the idea exposed there) and from the previous week market behaviour (maybe a double top at 1420/1421 one reached on 03. dec.12 and another one on 07.dec.12) what are the chances of a "hard landing" on spx chart? :D?
I know that sound idiot what I'm asking (due to the sources cited, maybe ;) ...) but I'm trying to converge as many info sources as I can in a convergent vision ...
Thanks,
V.
For BPSPX, it is not a signal to use in real-time like say the SPX 30-minute chart with 8 and 34 MA cross, or the TRIN, TICK, or the SPX 60-minute chart with 200 EMA, etc.... The algo for the BPSPX needs the EOD prints for all the stocks to calculate its number for that day. So simply use BPSPX as a daily to weekly type indicator for market direction. Simply check the print on Stockcharts.com Monday night but Keystone will be commenting on it as well.
ReplyDeleteAll tools are welcome, even astrological tools, it does not matter that the actual underlying tool may have an odd way of producing a result, all that matters is that the tool is consistent and uses the same methodology, and that the tool consistently works. This is why the Bradley turns are followed, since they are reliable. Also, markets tend to be weak the day or so in front of the new moon, and tend to be bullish in front of the full moon. Why? Who knows. All that matters is that it provides a read on the background currents of the markets. Also, markets are bullish in front of holidays, so you simply run with that idea and do not think so much about why it occurs. The behavior is a high probability so it helps with trading.
A Bradley turn is 12/22 so starting Friday 12/14 thru 12/28 should be a trend change, timed with the fiscal cliff drama. The thought would be that either markets sell off right now, and then perhaps bounce for the Bradley turn, or continue to float upwards, to result in a down move for the turn. Keystone's Eclipse Indicator also points to this back half of December as having high potential for a large market selloff.
The SPX punched out intraweek highs last week at 1424 and 1421 so those levels were tagged already. If the BPSPX provides a market buy signal the SPX will move well thru the 1420's into the 1430's.
Monday's action is very important. Use the VIX 15.82 level as the most important tool when the bell rings Monday morning. Bulls win big if the VIX drops under 15.82. The markets will likely begin perhaps a stronger down move if the 15.82 holds and VIX moves higher.
Thank you KS.
DeleteV.
If VIX drops under 15.82 on Monday do you think that Spx might break 1443 ? It's where i've put my stop loss for my shorts on SPX.
ReplyDeleteSo, if an uptrend develops now (until around 22.dec.12) under FOMC action how high might develop ?
Thank you,
V.
If VIX drops under 15.82, that leads the way into the SPX 1420's, and perhaps a test at the uber strong 1433 resistance. 1429 is also strong resistance which would be in play since the move may be about five to ten handles maybe more. If VIX turns bullish, watch the utilties again, UTIL, they would have to gain about ten points and punch up thru 465-ish, that would easily lead to the 1443 and likely lots higher. The bears have to come to play on Monday and prevent VIX 15.82, otherwise, they may start to fold like a cheap suit.
ReplyDelete