S&P breakout confirmed

By Colin Twiggs
January 23rd, 2012 3:00 a.m. ET (7:00 p.m. AET)

These extracts from my trading diary are for educational purposes and should not be interpreted as investment or trading advice. Full terms and conditions can be found at Terms of Use.

The S&P 500 breakout above 1300 suggests a primary advance to 1450*. Rising 13-week Twiggs Money Flow indicates buying pressure.

S&P 500 index

* Target calculations: 1300 + ( 1300 - 1150 ) = 1450

The signal was confirmed by similar breakouts on Dow Industrials and the Nasdaq 100, the latter offering a target of 2750*.

Nasdaq 100 Index

* Target calculations: 2400 + ( 2400 - 2050 ) = 2750

Dow Transportation Index also completed a higher trough, signaling a primary up-trend. 63-day Twiggs Momentum recovery above zero strengthens the signal.

Dow Transportation Index

* Target calculations: 5050 + ( 5050 - 4550 ) = 5550

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~ Noel Coward (or possibly Winston Churchill)

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