Friday, May 19, 2006
Here is a 15 minute bar chart showing regular hours trading in the June S&P e-mini futures. I last commented on this chart near yesterday's close.
Yesterday the market opened with a gap upward, traded sideways for several hours, and then headed downward almost 20 points from the first hour high.
Today the market gapped upward again, traded sideways for 45 mintues, and then headed downward. But I think that this time the low (1261.50) will hold and that by early next week the S&P's will have rallied above the last rally high which is also yesterday's high. This will be the first phase of a three phase rally of 25-30 points.