Welcome to the TFC Commodity Trading Forum.
Please feel welcome to join in on these informative ongoing discussions about trading futures and commodities.

The Trading Forum is intended for the open discussion of commodities trading. The management of this Forum does not agree or disagree with the ideas exchanged, and does not exert editorial control over the message posted herein. Read and post at your own risk. The risk of loss in trading or commodities can be substantial. We discourage the use of this Forum to promote trading that is acknowledged to be risky. Please note: many links from the Forum lead to pages on other web sites. We cannot take responsibility for nor endorse the information presented on those sites.

TFC Commodity Trading Forum

S&P Spinning its Wheels at Resistance *PIC*

The June S&P is spinning its wheels just under the broken uptrendline and short downtrendline. Price would need to re clear this area of 1380 and then break that short downtrendline to suggest a run to a double top of 1419 and beyond. Looking at the chart the odds of this are not good but so far this market has not sold off since late Dec other than the recent pullback over the last 3 weeks. While that pullback was about 50 points it was still just a classic pullback to the major breakout point being the May 2011 high at 1344. Price is now testing this breakout point as support. "IF" it holds it's up up and away again which would really blow most people's minds as everyone and his dog is talking about the big correction overdue now. All the evidence does suggest this but it is hard to put a trade on that everyone is agreeing with. Too many people on one side of the bearish boat for my liking. To confirm a failure of this test of the breakout point price would need to close and hold below this breakout point of 1344. That would suggest a meaningful correction of a Fib 38.2% retrace to price support at 1282 or even a Fib 50% retrace back to 1240 area.