Wyckoff formation on SPX. Likely further downside
Updated
Note: This is a short term trade.
As we can see, a Wyckoff has formed and it could either keep falling or it could make an LPSY, which would be the optimal position to go short.
I highlighted in green two demand areas which I drew on the daily. And the TP1 and TP2 are in the middle of those ares in which it would be a good place to buy. You can also buy in any of the demand areas depending on how much profit you want to take.
It is also important to note that the price could bounce straight off the demand zones, so to be safe, a take profit at the upper boundary of which ever zone you prefer would be the safest play.
This is just my opinion, so DYOR as well
As we can see, a Wyckoff has formed and it could either keep falling or it could make an LPSY, which would be the optimal position to go short.
I highlighted in green two demand areas which I drew on the daily. And the TP1 and TP2 are in the middle of those ares in which it would be a good place to buy. You can also buy in any of the demand areas depending on how much profit you want to take.
It is also important to note that the price could bounce straight off the demand zones, so to be safe, a take profit at the upper boundary of which ever zone you prefer would be the safest play.
This is just my opinion, so DYOR as well
Note
I also forgot to mention that you can see a high increase in volume going into the Wyckoff formation, then a decrease and low volume in the TR, and finally high volume on the last sign of weakness; which further validates it's formation.
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.