Following the rally yesterday, there was lots of excitement and exuberance in the market. Is the correction over? Are we headed back for all-time highs?
Of course, it is possible. But countertrend rallies are by nature fast and furious, shaking out the nervous short-sellers. Until the S&P 500 closes above 4550, this is still a countertrend. If you were long and traded the bounce, begin taking money off the table. If you are looking for a place to open or add to long positions, this is not it. The market will either reject the price level just above and selloff, or you will get a breakout confirmation. The price level is a place to take money off the table if you have made any. Display caution.
Of course, it is possible. But countertrend rallies are by nature fast and furious, shaking out the nervous short-sellers. Until the S&P 500 closes above 4550, this is still a countertrend. If you were long and traded the bounce, begin taking money off the table. If you are looking for a place to open or add to long positions, this is not it. The market will either reject the price level just above and selloff, or you will get a breakout confirmation. The price level is a place to take money off the table if you have made any. Display caution.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.