SPX: Follow Up of the Short Term EWP

By: TheWaveTrading | Fri, Feb 22, 2013
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Given the following reasons summarized below in my opinion the odds that the up leg off the November low is done are very large. The "bearish deal" will be sealed with a lower high.

NYSE Summation Index Weekly Chart

SPX Momentum Chart
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IBEX Weekly Chart
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This weekend I will review the EWP, but I want to show you a potential H&S that has a projected target at 1.2880:

Euro Weekly Chart
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The new pivot support is at 1498, once/if it is breached there is only white space (Except the BB at 1491) until the next support at horizontal support which coincides with a rising 50 dma = 1474.51 If this area is also breached then my preferred long term count could pan out with a wave (IV) of the ED option.

SPX Daily Chart
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SPX 5-Minute Chart
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SPX 60-Minute Chart
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VIX daily Chart
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TLT Daily  Chart
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Conclusion: There are overwhelmingly reasons that are suggesting that price is involved in the initial stages of a meaningful pullback.

This weekend we have a major event risk with the Italian elections.

Enjoy the weekend.




Author: TheWaveTrading


Contact: If you would like to contact the author, you can e-mail him at thewavetrading@gmail.com

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