WHERE 2?

Markets collapsed in the final hour yesterday as the 1,490 level on the SPX and the 200 day SMA was easily eclipsed. How now SPX? Well look like the the 50% FIB retracement from the recent highs and lows may come into play. The high on SPX on October 11 was 1,576 and the low on 8-16 was 1,371 which is a 205 point range. Half way up is abut 1,474 and we closed yesterday at 1475.62. So nothing is 100% in trading but this looks like a decent entry point for a move up to 1,490/1500 (prior resistance) or the 50 day SMA at 1,515. Again, click on the image for a much better picture.