Market Outlook SPY for Dec 17th '07

Dominant TF: Daily and low intraday time frames
Swing: DN-DN-UP (from DN-UP-UP)
Cycles: up - good fit
Market Direction: No change in overall direction just yet, but a support must be found soon

Fairly good quality cycles on daily chart pointup upward in the short to medium term.

60mins: Lower bias, check behaviour on 147.
SPY started the day directionless but the 147 level acted as an attractor. There isn't much negative energy so no reason to believe it will go much lower at this point in time.
The trading range should remain in the lower part of [147-150].

Daily: slightly up after support is found shortly.
MTFS white line is showing signs of weakness and Entropy has now peaked. We have to watch for Fib support levels (146.8, then possible 145.3). SPY could well stay congested within a [147-153] trading range.

Weekly: Congestion & Volatility
MTFS is unreadable because of the low significance level, hence one should not pay too much attention to the lines down gradients.
For the time being, higher highs and higher lows are bullish signs, with due caution that moves in the last 6 months have been way too fast for this time frame.