Market Observations for 5.1.19

SP00s (pre-opening comments) – the SP00s start the day near the top of the globex range, which is after a successful back test of the DTL off the former ATHs in yesterday’s regular trading session…

At noon MST the FOMC meeting ends, then an announcement on rates, then the release of the minutes… there is likely to be a spike in volatility at that time, then if my fractal interpretation is correct, the SP00s will break higher again, moving towards that ~3040 target range…

The ST, IT and LT trends are upward, and my SAR swing system remains long from 2910… watching.

 

 

 

SP00s – At the 10:00 am bar here in Denver, we find continued consolidation in the 2950s, as we await the end of the FOMC meeting today, which is in less than 2-hours now…

I made the compressing channel on the momentum indicator line bolder to highlight this compression, and the winner of the ST game will be whoever is on the correct side of the breakout…

For now, my SAR swing system remains long from 2910… watching.

 

 

SP00s (post-closing comments) – I’m still laughing at the results of today’s trading…

For a couple weeks, I’ve been calling for the momentum indicator line on the 240-min SP00s chart to reset back down at or below the top of the gray zone support level, and it’s been ignoring me, so I stopped, as I was beginning to¬† sound like a broken record…

Then this morning I said the winner of the day would be the direction the momentum indicator line broke out of on that compressed wedge… it broke downward, and now also it will see that needed reset for higher prices this month…

As the FOMC meeting ended and the announcement of no hike was made and the SP00s just couldn’t break to new highs, I was watching the 60-min SP00s chart make lower-lows on its momentum indicator line, and finally it broke two major UTLs, AND the broader market was not rotating, but selling, so I added that other UTL on the 240-min, as market conditions were changing…

At the 1:00 pm mark, the 60-min SP00s chart gave a reversal signal, and the momentum indicator line on 240-min SP00s chart was well below the added UTL, so a reversal signal on the 240-min SP00s chart was also generated at 2944…

This is a ST reversal, and I am looking for a return to new ATHs next week, but for now, my SAR swing system reversed back to short from 2944… watching.

I also included the spreadsheets for the regular and aggressive trading models.

 

 

 

 

 

 

 

How is your trading account doing this year?

If not so good – I can help… just DM me or comment on this thread and I’ll get back to you soon.

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