SPY Daily analysis using TD Setup and MACD
Updated
As a follow up to the SPY Hourly analysis by TD Sequential Setup and MACD...
Here is the similar analysis on the SPY daily chart.
Clearly, does not look good.
Here is why...
The Buy Setup in late August (red box) did not breach the TDST of 401. This actually means that the primary trend is bullish. Hence, a TD Flip on 7 September and the start of a TD Sequential Sell Setup appeared at that time to be a legit bullish trend. However, on 13 September, after an inflation report release, the markets got spooked and a significant Gap Down and Run occurred. This was a TD Flip that truncated the opposing setup too. It also failed the Hull EHMA lines, as well as formed the third Lower High.
Now, it appears that a new TD Sequential Buy Setup is underway and the last low at 388 can be expected to be broken down for a revisit of 360-365.
So, watch the critical 388.
MACD is heading further down as indicated, and is aligned to the downside scenario.
Reminder that Friday is Quad Witching and volatilty prevails during QW.
Stay safe and well, watch out for increased volatility and be nimble!
Here is the similar analysis on the SPY daily chart.
Clearly, does not look good.
Here is why...
The Buy Setup in late August (red box) did not breach the TDST of 401. This actually means that the primary trend is bullish. Hence, a TD Flip on 7 September and the start of a TD Sequential Sell Setup appeared at that time to be a legit bullish trend. However, on 13 September, after an inflation report release, the markets got spooked and a significant Gap Down and Run occurred. This was a TD Flip that truncated the opposing setup too. It also failed the Hull EHMA lines, as well as formed the third Lower High.
Now, it appears that a new TD Sequential Buy Setup is underway and the last low at 388 can be expected to be broken down for a revisit of 360-365.
So, watch the critical 388.
MACD is heading further down as indicated, and is aligned to the downside scenario.
Reminder that Friday is Quad Witching and volatilty prevails during QW.
Stay safe and well, watch out for increased volatility and be nimble!
Note
the SPY...Breached the support and is now below 388.
Worse than that, the SPY also broke down below a trendline.
All Bear
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