Friday, 14 September 2012

S&P 500 1450 remains key level, now support instead of resistance

1450 from the top line of the broad trading range shown below and in a longer term chart on Tuesday, or 1445 from the trend line drawn from recent highs.

S&P 500, ASX 200, DAX show starkly divergent reactions to QE3 announcement

In all sessions / after hours trade, the short term reaction was starkly different in these three markets. All three are in the vicinity of large multi year trend lines. Until all three market decisively beat their trend lines, I will be at best cautious about the prospects for a new global bull market.

Will we see upside follow through in coming days? 

The S&P 500 shot to multi year highs.

The ASX 200 beat its highs of the previous two weeks but not yet its August high, or that trend line drawn from the 2007 and 2011 highs. 

For the DAX I have also shown a long term weekly chart, but most interesting is that it failed to beat its high from the previous day (yes, day).