The S&P 500 respected support at 1350/1370, again confirming the primary up-trend signaled by 63-day Twiggs Momentum in December 2011. Immediate target for the advance is 1450*. Reversal below 1350 is unlikely but would warn of a correction to 1300.
* Target calculation: 1300 + ( 1300 – 1150 ) = 1450
The Nasdaq 100 gapped above 2700, on its way to a re-test of resistance at 2800. Completion of the flag formation indicates another primary advance. Reversal below 2650 is unlikely but would warn of a stronger correction. Retreat of 21-day Twiggs Money Flow below zero would also give a bear warning, while respect of the zero line would indicate buying pressure.
* Target calculation: 2800 + ( 2800 – 2650 ) = 2950