Reverse head and shoulder S&P 500
Updated
The S&P500 shows a nice reversal head and shoulders formation on the chart.
The S&P is moving in an uptrend for the last days and weeks. I think this formation shows good that the trend will continue after a pullback.
The neckline of this formation is also at the 38.2 fib level of the last upside move. So I expect a short term price fall back to 2083 +/-. And then the price should go up to an area around 2115-2120.
The S&P is moving in an uptrend for the last days and weeks. I think this formation shows good that the trend will continue after a pullback.
The neckline of this formation is also at the 38.2 fib level of the last upside move. So I expect a short term price fall back to 2083 +/-. And then the price should go up to an area around 2115-2120.
Note
Right now the price is back at the neckline, I will watch the chart now for a good opportunity to move in and open a long trade. I will update the chart again if that is the case and I found a good entry.Trade active
The price is back at the neckline.I will open a trade now with a tight stop loss below the last low under the neckline.
Target is around 2110-2120. Will see how it works.
Just to mention it, this is no edvice to anyone to do as I do. Do your own analysis and decide if you want to take a trade or not. This is just my opinion.
Trade closed manually
I closed my trade today after the price bounced back. So I closed at 2091 my trade and took a profit home. Now I will stay out of the market until the referendum for the "Brexit" is over.
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.