10/20/2015

SPY continues in safe zone above MR1 (thin red dots) 200.70 but below 2HP (orange dots) at 205.83 / SPX 2059.

 

That said it may be worthwhile to keep an eye on the IWM YP at 114.85, because it has clearly stalled at the 2HS1 / MR1 combo 116.34 / 116.39 respectively. IWM is the weak link of the main USA indexes (SPY, QQQ, DIA, IWM) and only one to make a lower low in September (compared to higher lows for the others) and now unable to clear MR1 (the others are above) despite 3 week of rally. Usually, the weakest index per The Pivotal Perspective is the best short candidate.