Category Archives: Indices

Be Alert To This Pattern On The S&P 500 Chart: It Formed At The December High And Every High Since October

In December we highlighted an interesting pattern of eveningstar reversal formations on the S&P 500 daily chart. We noted that, in both October and November eveningstar patterns had formed on the chart. They had marked important lower highs An eveningstar is a bearish three-day reversal formation, often seen at market tops. It consists of a… Read More »

Market Outlook: What Was Once Solid Support Is Now Formidable Resistance

In December the major market indices dropped sharply and broke below areas of former support on their weekly charts. These zones had provided strong support in February and April last year, and later in November. As we know when a support level fails and price breaks down, the support level reverses roles and becomes resistance.… Read More »