✽ Market Analysis ✽

Yep, window dressing appears to be ending…
Equity index daily charts all suggest a big move ahead.
When equity window dressing ends the downtrend can resume.

USD selling returns yet again which supports stocks.
SP500 daily chart choppy bearish warning continues.
SP500 fluctuating daily trend choppy bearish warning returns, thanks
to european stock bears. That bullish spike looks unlikely again.
Unfortunately Europe bears don’t agree atm. This ongoing market dislocation
gets worse and worse which provides another warning of the next crash.
SP500 fluctuating daily trend gives bullish warning and more upside likely.
Previously mentioned possible bullish spike on SP500 weekly chart continues.
See Tues Dec 27 chart.

AUDGBP short 0.6603
AUDGBP short 0.6575 [c 0.6595]
USDPLN long 3.4160 [c 3.4518]
NZDUSD long 0.7730 [c 0.7727]
XAUUSD long 1556.35 [1560.56]

Equity selling returns and mixed signals and no consensus again.

That bullish spike on SP500 weekly looks likely again.
(see chart below)

USDX selling detected yet again which supports stocks.
Maybe we will get that SP500 bullish spike.

Gold and Silver daily and weekly charts are bearish and as mentioned
previously significant downside expected with equities during 2012.

SP500 choppy daily chart bearish warning returns and opposite for USDX.

AUDJPY long 78.618
AUDJPY long 78.446 [c 78.590]
USDPLN long 3.4021 [c 3.4467]
GBPUSD long 1.5458 [c 1.5459]
GBPUSD long 1.5455 [c 1.5454]
AUDUSD long 1.0084 [c 1.0093]
USDCAD long 1.0233 [c 1.0251]

Due to serious SP500 technical damage today, a bullish spike looks unlikely now.

Reminder SP500 weekly chart shows possible bullish spike ahead (chart below)

Reminder that SP500 monthly chart continues to give bearish warnings and USDX
monthly chart continues to give bullish warnings. This big picture outlook will not
change. [USDX time frame modified to avoid confusion]

USDCAD long 1.0233
USDCAD long 1.0235 [c 1.0242]
USDCAD long 1.0145 [c 1.0230]
AUDUSD long 1.0163 [c 1.0191]
EURSGD long 1.6944 [c 1.6948]
CADJPY short 76.303 [c 76.231]
EURSGD long 1.6936 [1.6960]

SP500 weekly chart shows possible bullish spike ahead.
Ongoing megaphone wedge ensures eventual crash.

USDX daily chart gives bearish warning so should be stock bullish.

EURSGD long 1.6936
GBPAUD long 1.5415 [c 1.5419]
GBPUSD short 1.5651 [c 1.5636]

SP500 daily chart shows price action converging.
 

I still expect Gold and Silver to follow stocks down.
Thought we would get more rally before Xmas but it looks finished now.
SP500 intra day reverts to bearish and sellers are back in control.
[this is due to the influence of bearish larger time frames which won't change]
SP500 intra day reverts to neutral/bearish.
SP500 intra day reverts to neutral after the latest spike.

GBPAUD long 1.5556
XAUUSD short 1612.79
XAUUSD short 1613.84 [c 1613.95]
NZDUSD short 0.7748 [c 0.7680]
AUDGBP long 0.6458 [c 0.6471]
AUDUSD long 0.9941 [c 1.0161]