November is gone. The SPX gained 1.05 pts for the month. Woopie!
But price did not penetrate any serious level to cause a change in signal long term.
2050 seems to me to be a support area based on similar past patterns. Today may set the stage for a 8 or 9 day decline to 2050. But then I would expect to see a strong year end rally to 2115-2116 area. Then an early January mini pullback and then a steady move up in January and February. If it changes, so be it.
In my opinion, there is nothing I see on the monthly indicators I follow, to suggest a down move is coming, actually the opposite has occured off the August Sept. low. It looks to me like since the 2009 low we started a leg up, in EW terms, Wave 1 up. Then 2011 was a Wave 2 down, the 2011 low to the 2015 high was a Wave 3, the 2015 high to low was a Wave 4 and now we are in Wave 5, in the big picture. How high we go is anyone's guess with the Fed Miesters in charge. We are in a period now where the big boys want to scare out the weak traders, buy their shares and then run the market up for a few months.
Lets see how this theory plays out over the next few weeks. But if we get a pullback to 2050 I intend to buy Long for a few months! Best to your trading. I will be back with a mid month review to see if price is following the pattern.