S&P 500 retraces

By Colin Twiggs
December 17th, 2012 2:00 a.m. ET (6:00 p.m. AET)

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The S&P 500 is retracing to test medium-term support at 1400 on the daily chart. Respect would signal an advance to 1475, while failure would indicate a test of primary support at 1350. Reversal of 21-day Twiggs Money Flow below zero would warn of selling pressure, but a higher trough (above/below zero) would suggest continuation of the advance to 1475.

S&P 500

* Target calculation: 1475 + ( 1475 - 1350 ) = 1600

When men are most sure and arrogant, they are commonly the most mistaken, and have then given views to passion, without that proper deliberation and suspense which can alone secure them from the grossest absurdities.

~ David Hume, Scottish philosopher (1711 - 1776)