SPX Hourly

Cycles were expecting high today, 10/30 High to reshort.

The SPX hourly saw a perfect back-kiss of the 3/6/09L-7/8/09L wedge TL, right at the close/Open today at the 46 hourly cycle. Time to buckle up.


This will be my last post for a while. It has been fun.

Rally Time

We should now see our rally into the 10/30 High. We are very oversold.

Ideal path today: 1st hour High, Midday Low, last hour High

Trend bias for today is Up all the way into tomorrow 10/30.

Don't miss the boat.

Quick update 10/26 High

As mentioned in the last post, I was expecting an 10/26 High, which is being formed as we speak. The possible e-wave count is shown. From this high expect a sharp decline and then one more High on 10/30/09.

From now through end of October 2009

There has been plenty of top calling from many respected analysts and Traders as many recognizes the RSI bearish divergence and rising wedge patterns.

Yet the market seems to defy gravity once again and keeps making new yearly highs.

I have mentioned a couple of months ago, that the Master cycle suggests, we will see a continued rally into end of the year 2009, with some normal pullbacks along the way. That seems like an impossible feat, but so far it has been doing just that, with the recent October 21st High of the year.

Timing along with the right Cycles is crucial in this market Environment as
one can get seriously hurt, if they were prematurely short.

There are 2 dates to watch in the nearby future, one is Monday 10/26, the other is Friday 10/30, where I have the next daily and hourly CIT. The Master Cycle, if active suggests both these dates will be important highs, don't be surprised if we see new yearly Highs in the process.

The ideal path is to see a continued rally into 10/26 High, see a sharp drop into 10/27 Low, only to retest the 10/26 high on 10/30 High.

Daily and Intraday Cycle and CITs

Next Daily CIT is on 10/14.

Intraday CITs for 10/13: 10.10, 12.05-10** and 1.35 pm

Bias: 10.10 1st Low, 12.05-12.10High, 1.35 High, either will be the High of the day, then a sharp decline to a last hour Low.

Today is biased to be down in the 1st hour, rally to a midday high and see a last hour Low of the day.

Daily Cycles were looking for a 10/12 High and decline to 10/14 CIT Low.

The 1050 SPX has the largest Options Open Interest, with 87,737 calls and 101,844 puts outstanding, it should provide solid support for the 10/14 cycle Low.

The Master cycle: October 09 and beyond

From last night's email: "We made a triangle wave 4 today (10/7), which should be followed tomorrow by a swift 5th wave higher tomorrow, triangle target is 1069-70 SPX"

The perfect target at 1070.67 SPX was achieved right at the Apex of the triangle with 5 waves up complete. After a brief corrections, we should see higher Highs. That is what the Master cycle suggests, 10/2/09 low should be the Low for October, no crashes on the horizon, in fact we should be generally higher into end of the year.

The MC knows when and where the next Big decline and rally is. Next year 2010 is when the real Fireworks should start. Be prepared.

Cycles update

Posted in the T&C Forum and Raj T&C Daily Email on 9/28:

"I was looking for a 9/24 Low, which arrived 1 TD later on 9/25L. The Master Cycle (MC) is looking for a brief rally, watch 9/29 at 9.50 EDT for the next High of the week!"

Actual: we made a 9/29 High at 9.55 am and have been hard down ever since. Short term support is at 1036 and 1030 SPX. It should get real interesting when we close below the 3/6L-7/8L-9/2L uptrend line, currently at 1047 SPX.