New moon new month

update: 11/30/2011: todays 500 pt rally breakout should last until March 2012 per the 2012 Bradley Model. Look for buying opps on pullbacks on major moving averages. I think we can go back up to 1303 or 1350 by the end of the year.

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We had a new moon last Friday, that normally is a sell signal as seen on the chart below. Will we rally hard on Monday(futs are up 275 pts. in pre as I write this) sell off again on Tuesday? Or is this gap up we are seeing this morning the start of a new rally into Xmas? We should know by the middle of this week.

Opex week.....more consolidation?

Last weeks pullback into the full moon was a great buying opportunity, as the chart below shows. This week is OPEX(options expiration). Will we pin the 1280 strike and a open gap there or the 1240 strike and an open gap? It looks like the market wants to break out of this 3 week consolidation. Until we do take out the 3 week highs or lows, look for more of the same. Watch the weekly and monthly pivots for support and resistance. Last week, the weekly R1 pivot was the high on SPY, DIA and QQQ, the weekly pp was support on last Wednesdays pullback.

sell on new moons and buy on full moons

Here is a chart from Omega, who is a trader in my chat room showing how the market reverses around new moons and full moons. The red arrows are new moons and the blue arrows are full moons. We have a full moon later this week.

Thanks Omega great chart!

Opex week

I was looking for a pullback last week and I was wrong. Maybe we'll get it this week. We are very far from the moving averages and need to let them catch up. Also this week is options expiration(opex). Look for pinning of strike prices all week. Will the Dow Jones pin 12k or 11k? Will the S&P pin 1200 or 1250?

Full moon reversal?

Per last weeks post, the S&P bounced off of 1075(monthly S1 pivot) and rallied 100 points. Up 5% off the lows. These bounces the past 2 months have been fast. So have the declines. No pullbacks to let you in. Makes you pay up, if you want to play. Every other week is up or down. Last week was up, my guess is this week will be down. We have a full moon too this week on Tuesday the 11th. I see resistance at 1200, which is the monthly R1 pivot and support is 1120.