S&P

Here is an updated version of the 15 minute interval line chart I discussed yesterday for the June S&P e-mini futures.

The market has been behaving very bullishly. Notice how the upswing from point c has been much longer in price and time that the swing up from a to b. Within the upswing from c note that the last subswing from dd to ee was also the longest of the subswings within the move up from c.

Finally note how the volume has decreased as the market has approached its February 27 top near 1310. This actually is a bullish indication in this context because it tells us that the market is not running into agressive sellers near the old top. This means that it will probably break well above the 1310 level within a couple of days.

This combination of evidence makes me think that any three phase reaction that begins from today's high at 1309.75 will find support either at 1306 or at 1298, thus matching either the 6 or the 12 point reactions we have seen on the way up from point a.

I expect the market to reach 1325 in a week or two and 1350 by the end of April.