Beautiful Triple Bottom performed by S&P 500 - Rising Wedge Made
Usually, a rising wedge pattern is bearish, indicating that a stock that has been on the rise is on the verge of having a breakout reversal, and therefore likely to slide.
A triple bottom pattern is a bullish chart reversal pattern that suggests a breakout to the upside.
This chart sees both, where a triple bottom was performed by the market, which gave way to a quick rise over the weekend. This fast upside created a rising wedge, which is usually indicative of a downward trend. I suspect this week we will see more sideways movement, sliding along in this channel we've made. If the S&P Drops down below 3990 tomorrow, I suspect we could see a larger sell off, dropping us below the 3960 threshold. Staying above 3990 tomorrow will keep us in this rising wedge. The market would need a lot of good news to break through the 4000 psychological barrier, the new rising wedge, the macro trend line, and the upwards channel.
A triple bottom pattern is a bullish chart reversal pattern that suggests a breakout to the upside.
This chart sees both, where a triple bottom was performed by the market, which gave way to a quick rise over the weekend. This fast upside created a rising wedge, which is usually indicative of a downward trend. I suspect this week we will see more sideways movement, sliding along in this channel we've made. If the S&P Drops down below 3990 tomorrow, I suspect we could see a larger sell off, dropping us below the 3960 threshold. Staying above 3990 tomorrow will keep us in this rising wedge. The market would need a lot of good news to break through the 4000 psychological barrier, the new rising wedge, the macro trend line, and the upwards channel.
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.