Wednesday, October 19, 2011
S&P 500Below is a Geometric Grid and Fibonacci Grid for the S&P 500 using the time-price range of the May-October downtrend. If the market is in the beginning stages of a prolonged bear cycle the market may move sideways until a time harmonic of the previous decline is reached--then continue its decline.
The S&P is at the 50% retracement of the May-October downtrend and is testing the 200 day exponential moving average.
GOLDGold is in a precarious position and will have to resume its uptrend to stay in a intermediate cycle bull trend.