The S&P 500 correction continues despite the index finding short-term support at 1350. A rally would test the descending trendline around 1400 but a close below 1350 would signal another down-swing. Reversal of 63-day Twiggs Momentum below zero would indicate a test of primary support at 1275 (the index tends to move in increments of 25).
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients.
Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter.
Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.
I think that the SPX will start moving up very soon. Note the Kangaroo tail. Also the last leg down was much steeper.