(click image to enlarge chart)
Yesterday’s push down triggered the bull stops under last week’s low at 1327.25 and then reversed higher.
From a weekly perspective, an outside bar has been built where the pros have successfully raided the bear stops above last week’s high at 1363.75 and the bull stops under last week’s low at 1327.25. That was clearly the game surrounding the Bin Laden news and noise–and so now the focus is on where the week finishes.
The initial target for a confirmed spotter is always the closest primary trend line (in this case short-term at 1333.50) and that target was also accomplished yesterday.
Today’s action should be centered around the bull/bear line at 1327.25…with VST trading bias long above and reversing back to short below.