Dominant TF: Daily and low intraday time frames (60mins catching up)
Swings: DN-DN-UP
Market direction: Trading range with lower bias, but check levels and new pattern forming.
Note: Swings have turned down on both 60mins and daily charts, indicating a possible key level around current prices.
60mins: congestion to down.
We could not quite gauge what would happen when SPY would hit 154.15, but in hindsight this slowdown looked normal (Fib PR2).MTFS looks congested but Entropy certainly points down, so we again have to wait a little until a clearer pattern forms. It can still be a return to highs around 157 or a test of recent lows at 149.
Daily: Congestion to mildly up but check levels carefully.
As said yesterday the daily chart still points a little downward but also seems to have acknowledged the 150 support level. The MTFS pattern is however not bullish, nor is Entropy. It is safe to say that it should remain in the 150 to 156 trading range, but we'll have to follow Fib and MM levels very carefully as a new pattern should emerge shortly (Fed announcement...)
Weekly: congestion to mildly UP - Very low significance level.
Entropy is looking OK, but for the time being MTFS indicates continuation of this situation of congestion with an upward bias.
