SPX reversed right on schedule at 1370. While my comment about the little channel intersecting with 1400 today was delivered somewhat in jest, the analog — which called the recent bottom at 1357, top at 1392 (middle of our 1380-1400 range) and now yesterday’s 1370 stick save — has been remarkably accurate so far.
Our original chart from July 11th [see: Analog Charted] is looking rather prescient.
Yet, as we discussed last week, the key will be a break of the neckline [see: Analog Details]. A failure to do so in the next few trading sessions means we’re going up to tag the apex sehr schnell.