Wednesday, 18 July 2012

S&P 500 forming right Shoulder of bearish Head and Shoulders pattern?

This morning I tweeted that the "S&P could be (possibly, maybe) in right S of short term H & S. We'll see".... the following chart illustrates what I meant. Below 1325 would add confidence to the Head and Shoulders call, and provide an initial target of 1275ish, with much greater bearish potential being evident on the longer term charts which I have posted in recent weeks. A move over 1380 would in my view extinguish the near term bearish potential.