Robin Nixon, stop!

[wig]

Originally Posted by Robin

I'm getting cautiously optimistic for the markets today. Here's a chart of the S&P 500



I think we may have bottomed (for now)...

A low in October would complete a nice web of cycles.

How high do you think it will go if we put in a bottom here into/before years end?

[Robin]

Originally Posted by wig

A low in October would complete a nice web of cycles.

How high do you think it will go if we put in a bottom here into/before years end?

Probably the S&P will make 130 by New Year, maybe 135 by spring, and then it may fall back and take a year to recover.

[wig]

Originally Posted by Robin

Probably the S&P will make 130 by New Year, maybe 135 by spring, and then it may fall back and take a year to recover.

I use futures as a vehicle, so I am not sure how that equates with SPY. The pattern in the chart above, albeit missing the starting low in 2002, is an organized advance.

Longer-term (next 1-3 years), I am leaning towards this being a terminating pattern of the advance from the 2002 low. If that is correct, first stop on this chart is a test of the 107 low.

I will be shorting any 1-2 month bounce off the October low (assuming it happens).