FOR THURSDAY: (11/16) Last few days have been difficult, as we got the dollar wrong and even crude and bonds failed to work. Luckily our stock index shorts are working. Whippy action likely to continue with a dollar high on Thursday and gold low.
DEC. E-MINI S & P 500
S & P ANALYSIS FOR THURSDAY: (11/16) Resistance is up to 2566 overnight and then to 2570. Unlikely that will come out. Support at 2556.50 and then 2548.00. Close under 2548 will send many to the exits early and lead to 2518 next. Cycles still seem weak on Thursday and into the weekend. No change to entry stops for now. Support is at 2558.50 and major support down to 2541. Finally a stronger sell signal.
OVERALL: The market did generate a negative weekly chart close and a first Hindenburg signal so we’re right about topping action here. We still would like to see 2548 to come out to celebrate for the bears and even then we are looking at 2485. We’re seeing at least a 110-point fall to 2485. It does look like a Christmas recovery will happen the week of Dec. 11-15 and possibly into the Dec. 22.
CYCLES OVERVIEW: Lower into Friday/Sunday.
