Tuesday, May 27, 2008

Tuesday Review - 5/27/08



The S&P 500 Index closed Friday not only below May's open, but also closed below May's low, which is a negative for the market. Expect a three wave correction relative to the May 19 high (Initial Swing Wave - Corrective or Reactive Wave - Final Impulse Wave).




The ES Pivot is remaining below its 13 Period EMA. On Friday, the $TRIN was at its highest of the past several weeks, and the NYSE Advance - Decline Line was at its lowest. We may see the Corrective (Reactive) Wave soon.
Charles

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