SPDR S&P 500 ETF To Take A Breather? (NYSE:SPY)
The S&P 500 index has run up as forecasted to our subscribers a few weeks ago to a high of 1123 from the 1040 fibonacci pivot. Here at TMTF, we immediately took notice of the clear 3 wave pattern during the drop from 1130 to 1040 and cautioned our subscribers that a rally was likely. We also advised that if the S&P 500 could clear the 1094 area that the bulls would take charge and we would turn our intermediate views bullish for the markets. (S&P 500 also played with the SPDR S&P 500 ETF (NYSE:SPY))
The S&P 500 did in fact surge past 1094 and is now running into potential wave pattern resistance as it tries to attack the 1130 highs of June and August. Traditional technical indicators are overbought, but could allow for a final surge this week and into early next week before we would expect a pretty good sized correction from September 21st through roughly October 8th to work off the overbought conditions and form a likely “wave 2″ A B C pattern to the downside.
With that said, we can see on our chart at the bottom of this update a clear “triple top” pattern, which causes selling resistance. This time though, TMTF believes this 1130 area will be taken out after October 8th with a surge into year end towards 1220. How it gets there is left up to our paying subscribers who will be updated during the week with interim bulletins and occassional video forecasts. Loosely speaking, we look for upside pivots at 1130, 1145, 1160, and then 1220. Downside is likely limited to roughly 1080-1085 ranges over the next three weeks or so.
We have also commented with bullish forecasts recently on Silver and Gold. With silver at $18.73 an ounce a few weeks ago we turned super bullish with our pattern analysis and forecasted an intermediate multi month move to $26 to $29 per ounce. TMTF believes Silver now takes the baton and out-performs gold going forward, but we remain bullish on both metals. Subscribers to TMTF were alerted to go long some silver stocks a few weeks ago and that is working out extremely well.
Consider joining us as a subscriber now, as our rates will be increasing on September 15th to new subscribers. Charter Members get a big discount by joining prior to the close of business on Wednesday this week. Learn more at http://www.markettrendforecast.com/ and subscribe here directly by clicking here
David Banister – We believe that markets move largely based on important swings in sentiment, crowd behavioral patterns, Fibonacci Re-tracements, Cycles, and other ephemeral catalysts. The headlines explain what just happened in the market, but they do not predict the next moves up or down in the indices, sectors, or commodities. As an investor, you need to be armed with tools in advance of major moves that are accurate, and TMTF will assist you in being prepared as an investor for volatile markets both on the upside and downside. We have a wealth of technical analysis experience to take advantage of the crowd behavior in the markets. Our Chief Strategist, David Banister, has been quoted and or written articles on CBS Marketwatch.com, 321gold.com, TheStreet.Com, SafeHaven.com, Kitco.com, Stockhouse.com, Theaureport.com, along with other well known investment sites. David has been a past guest on the national radio show “Money Matter$”. Chris Vermeulen of Thegoldandoilguy.com met David in 2008 as the financial crisis was unfolding. After numerous months of following the forecasts and trading abilities of Mr. Banister, Chris suggested that a joint venture be formed and we offer a trading service to a finite and select group of partners (subscribers). ActiveTradingPartners.Com was formed in July of 2009, and with the success of that service, we now launch The Market Trend Forecast in March of 2010.