SPI MonthlyAs per the previous Report, the next move in the market was based on the direction price took in relation to the 3rd Quarter 50% levels.
With last week closing the 2nd Quarter below the 3rd quarter 50% level any UP trend was open to Risk.
Whenever price crosses over the Monthly 50% level I factor in a 2-month wave pattern following the Monthly ranges. We had this pattern play out on the recen UP move from March lows and the 2nd Quarter....
And as per 'Dilernia Principles' and the model, I'm now factoring in a 2-month wave pattern down into August.
In July we have the Monthly support levels @ 3584, which may or may not support price because of the larger trends pushing the market down.
However, if 3584 does support price in July, I'm still factoring in a 2nd monthly down move in August at this stage.
SPI WeeklyI'm looking for a continuation down into the Weekly and July lows next week.
The 3-cycle will be the trend guide @ 3763
If price can't close above 3763 and breakout of the 5-day high, then the SPI should continue down into the lows.
If there is a 5-day high breakout, then price is moving back towards the July 50% level and Weekly 50% level:- resistance.
