Outlook June 9, 2011

[Billy]

The bullish scenario prevailed all day. A close above QS1 (79.32) would set up the multi-pivot stage for a follow-through.
The most likely close today is 79.64. How do i come to this? Well, it is simply the average of the most probable 3-day targets of the last 3 days, both long and short, using the robot statistics of the last 3 days.
Last 3-day long targets : 79.30, 80.80, 81.18
Last 3-day short targets: 77.21, 79.52, 79.82
Average target = 79.64
This is another interesting way to use the robot statistics. I have not backtested how often it was correct or pretty close. But it is often very accurate from my recent observations.
A proxy for buy programs activity is the cumulative TICK chart. Today, it looks very similar to the one from last Tuesday. It rose above the 600-minute average before reversing into the close. Let's see how it develops this time. Tuesday only had daily pivots support, while today has the confluence of WS1 and QS1. An absence of reversal into the close will be another clue that QS1 was a dominant reversal target in the large players programs.
Billy