S&P 500 EOD Review 20 Dec 2011
Finally the S&P 500 moved in a decision pattern and it was to the upside breaking through a few key trendlines and Fibonacci band. This marks the end of Minuette (x) and the begining of Minuette (y) with a target of 1370 or even 1400. I’m labelling the move in the last session as Subminuette i. Subminuette ii is expected next with a target of 1225. Thereafter, Subminuette iii to take the S&P 500 to around 1270.
The divergence in the MACD as mentioned in yesterday’s review proved to be a key reversal indicator.
S&P 500 Fibonacci Confluence
The S&P 500 broke through the key Fibonacci Confluence band at 1220 – 1228.
S&P 500 Volume
The volume is quite decent and it looks like a healthy bullish move. But one tick does not make a trend and we’ll need to see the strength of the pullback in Subminuette ii to confirm whether is this a bullish move or not.
Elliott Wave Analysis 