20 Mar 2015 - Upside Scenario

The Upside scenario we discussed yesterday was the one controlling the trade today.  Yesterday, I indicated the fact the intra-day and the ST are both in SYNC with each other and this would be the stronger signal, but we still needed to be aware of  other possibilities.  The acceleration also manifested when the signal entered OB territory, which I also suggested last night.  As it stands, the risk to the upside is still very much in play.

Notice the 61.8% retracement I have been showing throughout the past few charts.  If adjusted to the actual body of the candle in early Feb. as the pivot point of the Fib. retracement instead of the low made just above the 1980 SPX pts.  The 61.8% retracement will then land exactly at the lows made during Mid-March.  Sometimes it is hard to choose where a certain Fib. pivot should start, but hindsight is 20/20.

The EW count of an ABC pattern still exists and we should keep aware of this in case the market does make a turn down.  Of course we would let the indicator confirm that as always.  Overall sentiment of risk is still to the upside.

MT: DOWN
ST: UP
PA: UP