SPI MonthlyExpectation of higher prices in early JUNE towards the June highs @ 4042 nearly played out precisely with Friday's highs.
I still have a view of higher prices in the 3rd quarter towards 4400, but that view is completely dependant on how the SPI reacts with these JUNE highs and then the 3rd Quarter 50% level.
So far we have seen the SPI continue higher following the Monthly trends upwards. As each month ends resistance disappears and the market continues higher.
However, all good trends still rise up from 50% level support levels, and in the 2nd Quarter price hasn't hit those levels.
All good trends can also rise up from the previous monthly lows (Monthly pivot low), which hasn't reached also.
Therefore I still need to see some resistance around these Monthly highs.
XJO Monthly (CASH MARKET)Looking at the XJO and the JUNE highs, along with a higher Weekly open next week I would look for price to come back into the mid point around around 3796.
The strength of the trend in the 3rd Quarter it going to be dependant on how price reacts to this level
SPI Weekly and 5-day pattern
This week has seen a lot of text book patterns play out:-
1. MAY high resistance moves and shifts higher into June
2. Trend begins from the monthly balance point and breaks Monday's highs:- 5-day breakout
3. Breakout of Monday and expectation of higher prices into Tuesday.
4 Tuesday's 5-days highs random resistance
5. Tuesday's high breakout @ 3965 on Wednesday and continuation upwards into Wednesday's highs @ 4021
6. Thursday:- 5-day high reversal and move down into the 5-day 50% level.
7. Friday:- sadly 4042 didn't reach
And if the SPI is going go down, then it needs to be trading below Support next week
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