SPX / SPY pink channel is at exhaustion.
We either breakout of the blue triangle next week, or start our downward retracement.
If we breakout of the triangle, all short positions should be exited.
Based on the chart, I am staying in this position until next week sometime or 50% loss on this option hedge.
Both were acceptable losses for the payout. This is why small position size is key until trend breaks.
Reasons for my bearish outlook:
Price - Barely broke out of blue ascending wedge. Stopped at SPX 3149.4. This is computer buying, not people. Too precise.
Moving Averages -Short term averages are hugging price. One slip will break these easily. Retest of 128SMA or 200SMA would qualified to go higher.
Volume - No volume at this price. Volume slowly decreasing.
RSI - Forming a double top currently. Last two times this happened went down afterward. In hindsight, timing second RSI failure would have been better entry.
Trend - We are at top of bullish trend and time in bullish trend is exhausted, lacking momentum. Next step is down.
Sources -
Video Below - Aug 2019, Real Vision Finance - 43mins55secs until 45mins38. "just like China in 2015 where the algos run the price up and then they sell it off. We just haven't seen the selloff yet"
youtube.com/watch?v=KUNrgzeuDAc
Stocks are climbing even though growth slowing.
finance.yahoo.com/news/u-stocks-keep-climbing-2020-120635748.html?.tsrc=rss
Thank you for liking, commenting, throwing up a chart, following, or viewing.
I am not a financial advisor. My comments and reviews are based on what I do with my personal accounts.
Disclosure - I am long MARA, GBTC, BTCUSD, GDX, VIXY.
Short SPY and AAPL.
We either breakout of the blue triangle next week, or start our downward retracement.
If we breakout of the triangle, all short positions should be exited.
Based on the chart, I am staying in this position until next week sometime or 50% loss on this option hedge.
Both were acceptable losses for the payout. This is why small position size is key until trend breaks.
Reasons for my bearish outlook:
Price - Barely broke out of blue ascending wedge. Stopped at SPX 3149.4. This is computer buying, not people. Too precise.
Moving Averages -Short term averages are hugging price. One slip will break these easily. Retest of 128SMA or 200SMA would qualified to go higher.
Volume - No volume at this price. Volume slowly decreasing.
RSI - Forming a double top currently. Last two times this happened went down afterward. In hindsight, timing second RSI failure would have been better entry.
Trend - We are at top of bullish trend and time in bullish trend is exhausted, lacking momentum. Next step is down.
Sources -
Video Below - Aug 2019, Real Vision Finance - 43mins55secs until 45mins38. "just like China in 2015 where the algos run the price up and then they sell it off. We just haven't seen the selloff yet"
youtube.com/watch?v=KUNrgzeuDAc
Stocks are climbing even though growth slowing.
finance.yahoo.com/news/u-stocks-keep-climbing-2020-120635748.html?.tsrc=rss
Thank you for liking, commenting, throwing up a chart, following, or viewing.
I am not a financial advisor. My comments and reviews are based on what I do with my personal accounts.
Disclosure - I am long MARA, GBTC, BTCUSD, GDX, VIXY.
Short SPY and AAPL.
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.
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.