28 Aug 2013

The pattern for the rally up in the markets doesn't seem complete for us to say if this is going to be a smaller subwave of a bigger 3rd wave down.  The key here would be Mondays high and that needs to be taken out.  Our low today in the SPX hit our angle quite exact and still amazes me how these angles work.  1645 will remain as a short-term resistance.  Our indicators still says down so I would not trade on the long side in the case of a gap down or acceleration down.

Main-Trend: DOWN
Short-Term: DOWN