sp 500

Get the S&P

If you take the range from the 7th March 2005 to 20th April 2005 and add it to the 7th March high you get the May 2006 high.

If you take the range from the 3 August 2005 to the 13th October 2005 and add it to the 2 August 2005 high you also get the May 2006 high.

If you take the May 2006 high and June 2006 low and add it to the May 2006 high.... it equals last nights high on the S&P.



Why does the market do this?

A: There at each low and high point there must be several cycles that run closely together, if you take the high to the low you are getting half the amplitude of these cycles.

By taking the range down and adding it to the high your seeing what value the market will peak out when the cycles go from low to high.

this is also why the top is taking a while as these cycles high be spread out a bit more now.