DOW S&P Weekly 30th MAY 2009

DOW S&P Monthly

US markets closed on the last day of the month right on MAY high Resistance.

MAY high resistance has ended and now there is an expectation that price should continue up towards the June highs, as part of a larger trend rotation in 2009 towards the Yearly 50% levels

DOW 9842
S&P 1035

Even though I have a view of higher prices, I was hoping that MAY high resistance would send prices back down into the 50% levels, so that the next wave upwards would be driven up from lower Support:- more bang.

Instead we have a larger UP move clinging to the Monthly high ranges.


DOW Weekly

US markets continue to be supported by the Weekly 50% level, and the same Weekly 50% level is the trend guide for next week, along with the 5-day pattern and probability set-ups.

DOW 5-day pattern

The only pattern last week that didn't play out that I wanted, was Wednesday's failure to reach the highs, as part of a short-term reversal back down into 50% levels.

The rest of the Week had some nice higher probability patterns play out as the market rotated and continued higher into Friday.

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DOW S&P Weekly 23rd MAY 2009

DOW S&P Monthly

MAY highs resistance with the expectation that price is trying to push down into the 50% levels before it continues higher in the 3rd Quarter.

However, with 1 week left in the month of MAY, prices look like moving up towards the JUNE highs, than actually reversing all the way down.

DOW Weekly


"A lower Weekly open and trading around the Weekly 50% level might see a 2-3 day UP move before another push down later next week."... Previous Weekly Report

This week saw US markets rise up on Monday from Weekly 50% level support back into the MAY highs , and then slipping back down later in the Week.

Next Week:- If US markets are going to continue down, then price needs the break and close below those Weekly 50% levels , and then continue down towards 7936


DOW 5-day pattern

Monday started the UP move and continued to the highs, and then Tuesday and Wednesday followed a 2-day stalling pattern around each dynamic high.

Thursday was a mixed pattern, as it could have gone either way based on trading either side of the 50% level.

And Friday was part of a sell pattern using the 50% level as resistance.

The 5-day pattern range between the levels should have provided enough trading opportunities this week if traders simply used the levels as Support or resistance on each given day.

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DOW S&P Weekly 16th MAY 2009

DOW S&P Monthly

As per previous Report, the first Resistance levels were hit last Week with the MAY highs.

There is an expectation that US markets should continue down towards the 50% levels.

I do have higher prices in the 3rd Quarter, but I want to see where MAY ends up closing before committing to the view of higher prices.

DOW S&P Weekly

There is an expectation for prices to head down into the RED levels in MAY in both markets...

However, it's up to those Weekly 50% levels on whether prices head down early next week.

A lower Weekly open and trading around the Weekly 50% level might see a 2-3 day UP move before another push down later next week.

A weaker pattern in the US should have seen Friday close much lower than where it closed.

DOW S&P Weekly 9th MAY 2009

DOW S&P Monthly

US markets have followed the Trend reversal from the Mnothly 50% level and into the Month highs.

These highs are the first resistance levels in MAY since both reversing from the MARCH lows...

Expectation is that US markets should begin to slowly unwind and move back down into support levels and the Monthly 50% levels....

S&P Monthly

I want markets to come back down and retest support in MAY, because there is a larger cycle in play based on the Primary Trend.

Since US markets have found their Yearly lows in 2009, the rotation pattern in global markets is to rotate back towards the Yearly 50% levels.

In the case of the S&P 1037


DOW monthly

Yearly 50% level 9872

Therefore there is a larger trend in play, as long as price remains stable above the Monthly 50% levels.

The ideal pattern in to get some resistance around these MAY highs and move back down into support later this month.

If that plays out, then it allows traders to move back into positions to capture any higher moves in the 3rd Quarter

DOW 5-day pattern


Day trader simply trade the rotation and extension within the 5-day patterns

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DOW S&P Weekly 2nd MAY 2009

DOW S&P Monthly

US Markets continue to push up towards their Monthly highs from the April 50% levels.

The April highs have dropped, and any higher moves in these markets and likely path is towards those highs in MAY:- resistance in this Quarter.

At this stage US markets look like moving into a 2-month sideways pattern between Monthly resistance and Monthly 50% levels until the end of the Quarter, which should provide swing traders with ample opportunities.

DOW S&P Weekly

US markets pushed up this week reaching their Weekly highs and stalling.

Even though the trend remains up and can continue up, we are back to a higher Weekly open next week.

A higher Weekly open means a short-term pullback in the trend.

That pullback is back into the Monthly balance points in MAY (red Line)

S&P 5-day pattern

No breakout of the 5-day lows this week, instead price remained supported and followed the 5-day pattern higher as it reached the Weekly highs.

In conclusion:-

US markets have continued to move higher. There has been no Monthly resistance levels and price is simply following the monthly trends higher

I was bearish on the Markets if there was a 5-day low breakout in the last week of this month and April close below the Monthly 50% levels.

This hasn't happened, therefore my view now is a 2-month sideways pattern between Monthly 50% levels and upper resistance levels.

For day traders, we all simply look to short resistance and trade support in the 5-day pattern, as the market continues higher in MAY.

If those levels fail in the 5-day pattern, we simply adjust to the market the next day.

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