Post Election Guide to the S&P 500

Now that the election is over and Obama has won a second term we can erase the uncertainty and clearly see where the markets are heading. It is higher. Take a look at the monthly chart for the S&P 500 ($SPX) below. The Gann Square reveals that the S&P 500 in its latest retreat during the 2009 melt down touched the 4/1 Fan Line and has since worked back over the 2/1 Line. It is between the 2/1 Line and the 1/2 Line that price should spend the majority of its time. Also notice

S&P 500, $SPX

the Double top near 1550. This is the key level going forward that will determine if we just have 8.5% more upside or break the 12 year broad consolidation. Zooming in shows that there is room for a pullback to overshoot teh 2/1 Line and continue to 1370 or even 1310 before the upside is in any jeopardy. By the way, I wrote this at 6:40pm EST, before any returns were in. It does not matter to the market who is the President.

S&P 500, $SPX

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The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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