with Anthony, ZigZag & Platy
The market is attempting to attack the 1300-1303 region highlighted yesterday as a potential upside target and key resistance which could halt this rally.
The recent downside target was projected by using the measured move technique. The 1265 region was a level in which i said that a bounce was most likely. This was also a region which was projected utilizing a Fibonacci technique with the lower support level drawn from 23 April low to 01 May high finding confluence with the second Fibonacci projection drawn from the 18 May low to the 29 May high. We are now in a position where we are back testing both the 50% level of the previous move down from 29 May to 4 June and also a previous Fibonacci level drawn from 23 April low to 01 May high. This level is also in confluence with the volatility band resistance just underneath at 1299.62.
I have also projected a Fibonacci time calculation from the 02 April peak to the May 1 peak, which is returning 11 June and 15 June dates. With reference back to the Natural Cycle chart these dates corroborate the cycle projection low and high around these dates https://changeintrend.files.wordpress.com/2012/06/sp500_natural-cycle2.png
We are currently trending downwards in a customized Andrew Pitchfork which i designed which incorporates Fibonacci levels which could provide the bounds for this move downwards should it eventuate. Essentially the projection for a high has been moved forward a couple of days due to the market testing key resistance earlier than first anticipated. The key to this move will be if we cannot break through 1300-1303 then we will head downwards.
This market is throwing a few curve balls which is good and bad. Its bad in the sense that i am having to be at the top of my game rather than sit back and just wait for the move to play out but it is good as it means that with all of this volatility a major change in trend is near.