Long-Term Chart of $SPX - Part III

I have been looking at some longer term charts again, now that my target on my previous post has been met.

The first chart is a weekly chart of the $SPX and shows that we just broke the neckline of the inverse head and shoulders pattern. The target for full extension is just above the previous high, so I am anticipating a struggle in the same area as looking at the left of the chart shows some importance. If the previous high of around 1220 can't be broken then I have a kind of Doom's Day scenario on the last chart.

Weekly


Zooming out to look at a monthly chart looks quite bullish as well. However, it also depends on breaking that 1220 area. A break and retest for confirmation would be great! The pattern that I am looking at here is a Cup & Handle. I like this pattern a lot because we have a bullish scenario on the weekly, within a bullish scenario on the monthly. This could be explosive and that is why a target of 1800ish is not out of the question. Sure, it would take quite a while and could be rocky along the way.

Monthly


Now, if the above patterns fail I will just short until the end of the world because my target for a Doom's Day scenario is sometime in November/December 2012.

Monthly - Doom's Day


UPDATE: I forgot to mention what the good scenario target was on this chart. It coincides with the target of the break of the Cup & Handle, but the fibs are drawn differently. This time, the fibs are drawn from the high to the low (2007-2009). You can see that price is currently consolidating with the RZ. A break to the top means that the top of the Cup & Handle gets broken, but price also get out of the RZ. That could be a powerful move up.

A break down out of the RZ is more of a long shot after analyzing all of the bullish patterns within bullish patterns that could lead price upwards.