Cortez's S&P500 account talk

**Cortez** · 11-05-2007, 08:41 PM

S&P held above 1490 today and should rally from here in the short term. The S&P needs to establish a higher swing low in the 1520-1510 area after this rally. The S&P will not survive another run at 1490 without the floodgates opening and massive selling erupting.

**350zCommTech** · 11-05-2007, 08:55 PM

Originally Posted by Cortez

The S&P needs to establish a higher swing low in the 1520-1510 area after this rally. The S&P will not survive another run at 1490 without the floodgates opening and massive selling erupting.

I agree.

**Show-me** · 11-05-2007, 10:04 PM

You got my vote.

**nnuut** · 11-06-2007, 01:59 AM

What rally? What happens next, I really don't know, how do you?

**Cortez** · 11-06-2007, 05:07 PM

Originally Posted by nnuut

What rally? What happens next, I really don't know, how do you?

The "rally" I referred to is one that I presumed had started happening yesterday but fizzled out quickly. If the S&P fails to hold 1490 without a rally, obviously we are likely to have a retest of the AUG lows. However, if we rally from here (1500 presently) back toward but short of exceeding the previous swing high area of 1550, then it is that retracement that needs to find a higher low above the previous 1490 low, hence the 1510 area. The reason I don't expect another challenge (if S&P 1490 doesn't fail before my anticipated rally) to the 1490 to hold is that the more times a support level (or resistance for that matter) is threatened, the greater the likelihood that level will fail. We have broken 1500 5 of the past 12 trading days in the SPX but have closed above 1500 each time. This level is CRUCIAL to being long stock funds.

**nnuut** · 11-06-2007, 05:10 PM

Thanks for the explaination Cortez!

**Cortez** · 11-06-2007, 05:27 PM

S&P 500 chart

**Cortez** · 11-06-2007, 09:31 PM

1 month 1 hour view showing bounce off of support at 1490 that started yesterday afternoon. Short term bullish chart.

**fabijo** · 11-06-2007, 09:55 PM

Originally Posted by Cortez

1 month 1 hour view showing bounce off of support at 1490 that started yesterday afternoon. Short term bullish chart.

Excellent chart, Cortez. What program did you create that in?

**Cortez** · 11-06-2007, 11:43 PM

Originally Posted by fabijo

Excellent chart, Cortez. What program did you create that in?

ProphetCharts embedded within my OptionsXpress account.

**fabijo** · 11-07-2007, 05:29 AM

Originally Posted by Cortez

ProphetCharts embedded within my OptionsXpress account.

Cool. Thanks!

**Cortez** · 11-07-2007, 03:11 PM

5 day 15 min chart. S&P is testing minor support area of 1505 which was resistance on Monday. Major support is at 1490. Chart is actually SPY tracking fund so add a zero to price to get S&P equivalent.