S&P500 and TSX advance

By Colin Twiggs
July 15th, 2013 3:00 am EDT (5:00 pm AET)

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The S&P 500 broke resistance at 1675 but the short candle indicates (short-term) selling pressure. Follow-through above the May high at 1690 would confirm the primary advance, with a target of 1800*. The 21-day Twiggs Money Flow trough above zero indicates medium-term buying pressure. Reversal below 1650 is unlikely, but would warn of another test of primary support at 1560.

* Target calculation: 1680 + ( 1680 - 1560 ) = 1800

The VIX below 15 indicates market optimism.

The TSX Composite Index has advanced strongly since the bear trap below 12000. Recovery of 13-week Twiggs Money Flow above zero indicates medium-term buying pressure. Target for the advance is 12900. Breakout would offer a long-term target of 14000*. Reversal below 12000 is unlikely, but would signal a primary down-trend; confirmed if 11750 is broken.

* Target calculation: 13000 + ( 13000 - 12000 ) = 14000

The game of speculation is the most uniformly fascinating game in the world. But it is not a game for the stupid, the mentally lazy, the person of inferior emotional balance, or the get-rich-quick adventurer. They will die poor

~ Jesse Livermore