Thursday, 31 May 2012

1pm update - need a fail at the hourly 10MA

We've seen a bounce - to be expected, and it probably scared a few of the weak bear hands out of their short positions.

As noted earlier, what especially matters today is we see the indexes put in a fail at the hourly 10MA...we're there right the next hour or two will be real important.


Sp, daily, bearish outlook, count'2


I'm starting to like the daily count - noted above. If this is still a wave'5 (of main'1), then this down move will end tomorrow or early Monday. A quick VIX spike to 27/29 would help to confirm that.

Bears would much prefer - myself included, to close under 1300, and that makes a move to 1285/80 tomorrow morning relatively easy.

Keep eyes on the VIX, bears should still look for a close in the 25s.