There is a suggestion that the SPX could possibly top out at 1860 - 1880. This would put 1860 in the resistance area of the 120 Deg. angle using the 60 Deg. overlay.
Monday 30 December 2013
GANN SQUARE SUPPORT / RESISTANCE UPDATE
Are we seeing a possible support now for the 1830 SPX level? The ES movement sideways seems to suggest it, and although the SPX has not come close to the 1830 level, it has been moving identically sideways as well.
The number is highlighted in purple to show where it falls.
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MP, what would you consider when you chose the angle for the resistance/support level. If so, could it be applied to other index with its first three significant digit put on your gann matrix.
ReplyDeleteThanks again for your sincere sharing. Wish you a Happy New Year!!
I'm not an expert on it so much but from what I understand is that the Cardinal and diagonal crosses are considered the strong aspects. You have to look at the chart and see where current resistance support is and locate those price on the Gann Sq of 9 chart. If they are close to a hard angle then anything that lies on the angle will be strong sign of support and resistance.
ReplyDeleteFor example.. if you follow the orange line from the center.. you will notice that it will hit these numbers. 3, 13, 31, 57, 91, 133, 183, etc. and I did also mention that I multiplied these by 10 to match the current price of the spx (183 x 10 = 1830). Falling back the next number is 133 (133 x 10= 1330). The last time this was hit was on 2012 June, July just after the low and there was a congestion. It zigzagged for a good month and a half.before breaking out and retesting on Nov 2012 around the 1350 range. From that point on we never saw a pull back again and it pushed higher and higher until now which is the next number after 133 which is 183 = 1830. Because I am using the numbers closer to the origin and multiplying by 10 I wont be able to hit accuracy but only major numbers hence the big gap between 133 and 183. If you follow the 45 deg. angle that crosses 5, 17, 37, 65, 101... You will notice that the SPX made a low of 666 on March 2009 which is supported by that angle just below the 65 when we go clockwise.
Today marks 1766 days from the 2009 low as well and it lines up with the 45 deg. angle. I believe you can also use days as a form of support and resistance. 1766 is an overthrow but we might just see it reverse sooner than later.
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