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[Woody]

Yesterday I posted a simple chart showing the 1540 objective based on 60min chart range.

From here, the key will be the size of the MCO Breadth Thrust, notice the Thrust back in March that took out the prior tops, we only need to get 1000 Net Adv on NYSE to get back to the zero line, right now we have over 2000, if we cannot generate a similar thrust this time, and with the summation Index at a lower level than March, then the odds of a retest increases possibly setting up a nice positive divergence with the MCO versus price. Even after the March Thrust, we still had a pullback.

Depending on what the MCO does from here, I see the following possibilties,

1) Continued Up to Get the Thrust and then a pullback
2) Pullback from here to 1515 with minimal damage to MCO then upward
3) Retest of the Lows or slighter Lower setting up a huge positive divergence with MCO

Fib is the Pro on this MCO stuff this is my 2 cents fwiw.


http://stockcharts.com/c-sc/sc?s=$SPX&p=60&b=3&g=0&i=t72653728628&r=5910.png

http://stockcharts.com/c-sc/sc?s=$NYMO&p=D&b=3&g=0&i=p01261231661&a=109368474&r=5987.png