September 20
Due to the Fed meeting on Wednesday, the weekly approach is published today.
After the PA on Monday the 12th last week, it was followed on Tuesday the 13th with heavy volume and higher volatility. Attempts were made to give the appearance that the penetration of the important 2150 level was imminent on Thursday the 15th and yesterday, Monday the 19th. Friday, Sept 9, was the abrupt beginnings, after the post “Brexit” summer doldrums, of the process of covering short positions from the 2180^ levels and accumulating massive amounts of stock for a probable, eventual, advance to the 2200 level. The rejection of 2150 on Monday and the following PB’s created a somewhat better PA for a poss advance through the 2150 level again. With the Fed meeting on Wednesday, we can expect some larger directional signs where they may be heading with this. And we should see some decent trade opportunities leading up to the meeting.
Today, the futures are up and it looks as though there may be another attempt toward the 2150 again. Since it will be opening higher any rallies toward or just through the 2150 will be to draw buyers in, so we can expect PB’s after that. This 2150 is the important number for the moment and up to the Fed meeting and through the end of the week.