S&P 500 Week of Oct 25 – 29 Outlook
Recap of last week
Tag of 1180 first done on Monday as expect. News shock on Tuesday leads to 100% expansion to the downside based on Monday range. Wednesday news shock again bounced off 50% downside expansion area leading to retest of Monday high. The expansion stopped exactly at 200% from the initial move (purple).
Previous week high breached but failed to close above that and stuck within Monday’s range to close.
Next week outlook
No significant directional bias for coming Monday as the week finished directionless by close.
Longer term zone of interest, however, stays at 1200 to 1216 for ES. See the chart below.
Top blue line is Sep high. The matching orange line is its 50% upside expansion target. S&P so far tested Sep high and rejected that from above. 1200 is now a likely target.