economic data

$SPY $/ES – Head & Shoulders (Knees & Toes) Pattern emerging

Posted by Investing Freak on July 12, 2011
Market Analysis / 2 Comments

The past week or so we expected an oversold bounce and now that it has come and gone more contagion fears have emerged, this time in Mario & Luigi land that makes pasta, pizza and tomato sauce along with the cheeses.

This latest fear-mongering along with recent economic data in the US and worldwide( which have been less than expected) and also the upcoming U.S. debt limit crisis which will get resolved (just not until it has hurt a good chunk of the economy) but not in a timely manner because like their waistlines, Americans cant/don’t like to curb their spending.

 

I was looking at my favorite time frame, the Weekly and on the futures I noticed an early stage but possible H&S pattern. Here it is simplified for your enjoyment, voice in your ideas in the comment box.

Positions: Rolled a July put into a September put.

I was right just not satisfied after the 8 day rally which reignited at the green moving averages above (risk reward wasn’t there anymore but I was high on “hopium”)

 

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