Bonds bounced as per plan today to test the moving averages and just short of 157^08. This is the first target for a wave [II]. A good idea to give it till early next week before deciding wave [II] is complete.
First trading day of the year and SPX is making a new high. Good target for a morning high at 3253 though I’d like to see the daily target at 3257 hit late today or tomorrow morning. Support at 3244 and 3238.
Relatively uneventful last day of the year in bonds as they traded inside the range of yesterday. I’d like to see a minor bounce before dropping under the 155^08 support on the way toward at least 152^25.
Bonds slipped lower this morning to retest 155^08 and then started to bounce. I’m penciling that in as a small degree wave [I] which implies a week or so of bounce for a wave [II]. Alternate would be this is the (b) wave low but I don’t like that as it still seems too shallow.
Bears trying to take control of SPX this morning as it is leaning on 3223 which is just under the last important daily target of 3225. If they were to close under 3225, I’ll take that to mean a reversal is taking place. Until then, allow for a bounce to 3233. If they push past 3233, they try for the next daily target of 3257. I think a reversal is close but too early to say it is taking place today.
I’d like to see SPX press for the next daily target at 3257 but the stall at 3248 is disturbing and could be a sneaky high. If they fall back under 3245 for any length of time, the case for high materially weakens. The big number that confirms a reversal lower is under 3224.
Bonds tested initial resistance level for the expected bounce today. I wouldn’t mind a little higher to interact with the moving averages but isn’t a requirement.
SPX finally pushing up out of the consolidation it has been stuck in and should be trying to stretch to 3236.
Before getting started with the charts, a programming note. No posts tomorrow and Wednesday. I will be in the chat room for the half day tomorrow though not expecting to post much. Back to the normal schedule on Thursday. Happy Holidays and Merry Christmas.