Monday, 22 August 2016

S&P 500 topping at trend line drawn from highs of years 2000 & 2015?

For the past several weeks I have taken only a casual interest in markets and only occasionally glanced at my charts. as the markets I most like to trade have been in Northern Hemisphere summer holiday mode. Yawn. Also I needed a period of less intensity to recharge. Now as September approaches, some markets are beginning to look interesting.

The S&P 500 monthly chart shows the market this month tested the trend line drawn from the 2000 and 2015 highs.

S&P 500 daily chart Elliott Wave count allows for a top to have occurred or to be made nearby current levels. There are many alternate counts, too many to be sure of the big picture on EW grounds alone, but the common denominator is to expect a pullback soon. The form of the pullback, whether it is corrective or impulsive, will help clarify the big picture.

NASDAQ 100 4 hour chart is showing a possible Head and Shoulders top. This setup and market will be my near term "tell" for whether or not the broader US market has made a significant top.