SPI monthly and WeeklyAfter reading the US market report there is an expectation that US markets are moving up towards their June 50% levels.
If that is the case this is going to push the Australian Market upwards, however based on price trading below the 3-Quarterly 50% level this could see the SPI struggle to close above 4522 by the end of MAY.
Based on current patterns the trend guide next week is 4356 using the daily timeframe (sycom closed 4358).
If the SPI is trading below @ 4356 then the Aussie market is consolidating until the end of the month, as price remains below the MAY lows and the 3-quarterly 50% level.
If the SPI is trading below 4522 by the end of the month, then there is the expectation of a move lower in June:- break and extend pattern in the single month timeframe (red channels)
In conclusion:- the market remains in a breakout with a downward bias and any higher moves next week are seen a minor swing patterns and consolidation until June.
