I'm seeing some pretty clear trading ranges as this bottoming process continues. And I guess we're going to become experts in the Inverted Head & Shoulders pattern.
The YTD darker dotted lines are sporting this pattern as the lighter shades show the slowing rates of trend change down as well as up.
As a note I went back and looked at the October 2008 top and found a similar 3 month topping H&S pattern. You may find it interesting that it retraced to the next to last line before falling. Meaning if this is the bottom we could reasonable expect to see 75 on the SPY or 750 on the S&P 500 before the Bull market can begin in earnest.
Short-term range from the rising EMA's at 81.0 to 87.41
and then again from 87.41 - 94.45
Remmber as the pattern completes the breakout will eventually fail and the swing down will be quick and violent. So as we approach these lines of resistance it's an easy trade to get short toward the tops of channels and get long toward the bottoms of channels with stops just on the other side.
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