The S&P 500 closed positive Friday as our last candle analysis predicted. The buyers quickly came in from the beginning of the day and took clear charge of the market. This looks to have possibly changed the momentum of the intermediate trend by forming what can be loosely interpreted as a bullish engulfing candle formation off of the 1900 support. With the MACD, RSI and Stochastic indicator all showing oversold, this could be the reversal pattern signal. The confirmation will come from Monday's trading session. Our candle analysis leads to a prediction that the market will close positive on Monday. Because it closed Friday pretty much on the session high, we predict it will test out the 1940 resistance level.
Dwayne Tucker is an individual investor in Akron, OH. He began is journey in 2006. After numerous investment mistakes, he followed a simple method to make consistent gains. He credits his achievements to hard work, self discipline and his hunger for education. From his experiences, he helps other beginning investors clear the difficult hurdle by teaching his simple technique. Dwayne helps run www.wincrease.com , which is dedicated to helping beginning individual investors.
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