SPI Monthly and WeeklyExpectation that the Aussie market would swing back into the November 50% levels early this week, and then reject back down towards the November lows.
At this stage the first pattern has played out, but if there is going to be a continuation down into the November lows, it will be lead by Financials (as per previous report), and my expectation of resource stocks moving down into their November lows.
But it will also be helped by US markets...... http://usindexweekly.blogspot.com/
If US markets don't sell off on Monday, then there is a view that next week could actually move back towards the Weekly highs.:- "consolidating Weekly pattern"
SPI 5-day pattern
Last week's trending period was mapped out using the 5-day pattern into Wednesday's highs.
I was looking for a reversal back down into the 5-day 50% level once price moved back inside the upper blue channel, but sadly price gaped lower because of US markets reversal.
Next Week:- If the Aussie market is going to continue higher, then it should be push upwards from the Weekly 50% level and be trading above 4173, moving into a consolidating 5-day pattern between the Weekly 50% level and Monthly 50% level.
Below 4118, and my view will be the SPI heading down towards the 5-day lows:- 2nd week sell-off after the Monthly 50% level rejection.
As I mentioned in last Week's report: my buy positions on stocks are much lower in November and i'll wait until things move down into the BUY levels.
For short-term futures and Forex:- it's all about the 5-day patterns, filters, and Spiral points.
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