Inverted head and shoulders on the SPX?
- Thread starter fantastic4
- Start date
On the daily chart it appears we've reached the Nov. 2008 lows...it will be interesting to see if we can find support here.
http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=0&mn=6&dy=0&id=p33248965723&a=160452275&listNum=1
http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=0&mn=6&dy=0&id=p33248965723&a=160452275&listNum=1
OK......all previously held LONG resting inventory is GONE as of todays trading! :eek: We took out the last Delta NET LONG HOLDERS zone so all bets are off......market is now in a tough position.Quote from AMT4SWA:
I am also remaining SHORT because we still have a good size zone of resting NET long inventory sub 750's at the yearly lows. Resting inventory at SIGNIFICANT support or resistance zones is like a powerful MAGNET for price......I am still holding positions SHORT looking for the yearly lows retest move.
With that last run down today, I also took off another level of my Rydex 200% INVERSE S&P500 positions (as the ES was trading through the 742 level). My scale out was set for when the ES traded through the 735 level as the trigger, but I was happy enough with ES selling through 742's as I scaled out more Rydex positions so near the close. My next scale out level was set for a cover of positions as the ES trades through 715, but I have now moved that down to wait for the 708 level as the trigger.
AGAIN, price traded to the resting inventory (SIZE) and took that inventory neutral. There is NO LONGER any significant support to our market.......anything can happen at this point and the AH session tonight will be extremely interesting to watch.
Be very vigilant in your trading at these price levels with no significant suport near our current price. Maybe we will get some rotational cycling of price without a MAJOR new down leg BLOWOUT move in the days ahead.
Well, we can hope......LOL! Today I would like to see at least one test of yesterdays LOW......I want to see what kind of initiated buying order flow that will take place "at or just below" the LOD from yesterday. That will be a tell tale sign imo as to what possibility we may have for any consolidation in the 740's (building up new delta NET Long holders inventory).......if we do not get a test of yesterdays LOD area then we will have very weak support remaining in the current 743-740 zone of minimal resting held Long inventory.
Quote from AMT4SWA:
Today I would like to see at least one test of yesterdays LOW......I want to see what kind of initiated buying order flow that will take place "at or just below" the LOD from yesterday. That will be a tell tale sign imo as to what possibility we may have for any consolidation in the 740's (building up new delta NET Long holders inventory).......if we do not get a test of yesterdays LOD area then we will have very weak support remaining in the current 743-740 zone of minimal resting held Long inventory.
How do you compute the net long holders inventory? Is it by true numbers or is it supposition based on order flow volume?
go long, hold for the rest of the day
right again +180 and surging
Very interesting day as the $SPX opened at 744.69 and never back...the high of the day 775.49 and the close is 773.14....very near the high. The candle formation is a bullish harami. I'm wondering if the market can sustain this run to the upside and for how long. There's a lot of overhead resistance.
