Last Week completed the first week, and it looks like another Week before a new trend develops…
A:- rotation back down into June 50% level next week and then a continuation back UP towards the recent highs. This often occurs in the month of contract expiry with a bias to rise into the switch from June contracts into September contracts."
Previous Weekly Report...
S&P Weekly & Daily chartsLast Week expectation that the Weekly 50% along with the 5-day pattern will define another consolidating pattern around the June 50% level.
S&P daily and 5-day chart
This started with the higher Daily open and the Weekly 50% level on Monday, and then the rest of the week was defined by the 5-day pattern, including the 5-day highs on Friday.
With the highest jobless rate since 1986 and a huge jump in oil, this sent the US markets down 400 points.
Next Week....
We have now completed a 10 day consolidating pattern, the following week future contracts in June come into expiry,which often pushes prices up towards the expiry date.
I would look for a push down on Monday towards the 5-day lows and then look for a rotation back upwards later in the week and into next week's expiry. June expiry.
Note: a break of the 3-week cycle lows 2 weeks ago is a bearish pattern, so at this stage any up move towards contract expiry is only seen as a short term counter-trend move within a 'bear' market.
DOW Weekly and Daily Report
US markets broke the 3-week lows last Week, therefore an expectation is a two day counter-trend move upwards:- lower Weekly open....
And then look for a continuation down into the Weekly lows @ 12035.
Once that price action occurs, then looking for a move back up towards Expiry and then use the July 50% level to trade down.
