This morning is starting to look a little more bullish as we can see some coiling action with the futures going up and back down, up and back down and now up again. I guess in elliottwave wave it might be a series of 1 waves up and 2 waves down that suggest a wave 3 up coming soon, but EW is so “iffy” as you can go back and change the count afterwards when the move turns out wrong.
I’d go with the technical analysis first and try to make the wave count fit in what I see with the MACD’s and Histogram Bars, and they do lean most bullish this morning. But the problem is that the market is waiting on the FOMC meeting tomorrow and therefore these technical’s and wave counts mean nothing until the news event is over with, and then the market will move.
As for today I’d love to tell you that we are going have a strong rally that takes us up to the FP on the SPY but there’s just not enough evidence to say that. I’m only slightly more bullish this morning then bearish but overall the charts are mixed as they wait on the FOMC meeting Wednesday. The inverted head and shoulders is bullish, the technical’s are most bullish (or mixed) but the “reason” to move the market isn’t until tomorrow.
So today could be another choppy day with no clear direction just like yesterday was choppy with a slightly bearish alignment. Of course if I see something before the close today I’ll do another chart update but right now before the open I’ve got nothing clear. Taking the morning off and waiting until later in the day seems like the best plan I think.