Wednesday, July 15, 2009

S&P looking for gaps

The S&P pulled back to the 875 level last week and filled an open gap there from early May. The head and shoulders pattern never closed below the neckline @875. It went below the neckline intraday only.....could not close below it. The next closest open gap is at 944 and 906(from today). 954 is the monthly r2 pivot and the highs from June. That should be very strong resistance. If we break above that, we'll test the yearly pp at 986/1000. Look for 906 before 1000....imo.