I am re instating the BOT Long Signals again. I am starting a BOT long signal at 1201 in the sp500. I have reviewed a number of longer term charts yesterday and I am starting to see some bullish scenarios for this market.
For the short term however 1250 remains the level to be beat for more near term bullish possibilities. I expect some type of reaction from that level. Observing how the market reacts from that level will be key in figuring out if the market has more bullish prospects.
I will go into more detail with some charts this week some time. But I think we are at a potential important low in the market.
When we look at the longer term charts such as the Nasdaq 100 Index it can be clearly seen on the monthly long term chart that the recent decline was simply a RETEST of a massive inverse head and shoulders bottom formation. This could mean that the mega bearish scenarios are completely invalid. It suggests to me at least the possibility that we have seen the lows already and are going to move north similar to the way we have from previous corrections since the 2009 low.
More details and charts later…