Tuesday, December 21, 2010

S&P500 reached my bullish target for 2010

S&P500 Mid-term target (From my September,13,2010 post) : "Click on the chart to zoom in."
Back in September 13th 2010 click here. I gave a bullish scenario to my bullish fans. At the time I thought my forecast is too optimistic, but market proved me that with "Bernanke's Put" ($600b QE2) anything is possible. My target for IH&S (inverted head and shoulder) is 1254-1260. I'd like to see what big institutions are going to do when S&P500 would reach these levels. Big institutions could over shoot the market to 1300 level, but 1254-1260 is a very reasonable level for 2010 high. In the short term pay attention to 1232.56 support level. If S&P500 tanks below 1232.86 it means we are headed to retest 1228-1220. As I mentioned many times before as long as S&P500 stays above 1228 bulls will have the upper hand.