Tuesday, May 31, 2011

Daily buy signal on SPX

My system has fired a buy signal on SPX daily charts as of close today. So we are now back to uptrending mode, based on my definition, and hence buy-the-dips mode. The last sell signal on daily from my system was on May 5. A close below SPX 1325 is now required to invalidate this buy signal. I will updtae again whenever this signal changes.

Weekly is still on a sell. It will be invalidated if SPX trades above 1347. If the weekly also flips to a buy, then it's high odds that SPX will challenge the April highs or exceed it.