Tuesday, August 08, 2006


Here is an hourly chart of the September S&P e-mini futures. I last commented on this chart here.

This afternoon the Fed announced that it would not increase the federal funds rate at this time and after an initial rally the market dropped as low as 1273.50. I think the reaction from 1297.75 ended at this level where it would almost exactly equal the length of the last reaction from 1270 to 1244. The market will now rally to its next resistance which I now calculate at 1309.

No comments: