Last Friday we close the market with a Doji with a gap up, with the highest volumes we've seen for almost two weeks. Additionally I see a bull run lacking momentum to continue for long based on the low volume: People are not willing to buy at this price, and could be looking at an opportunity to sell. I think tomorrow, April 19 will decide if the bull run will continue or a correction is bound to happen. The confirmation for the short position will be a retrace to the 413 levels, ideally with a gap down. From there we could be testing the 400 levels which is a nice psychological support, but I can see it coming at lest to the bottom of the channel.
Note
As expected today SPY traded lower than last Friday but the performance was not as decisive as I would wanted to be. Bears took the lead early on, but they were rejected at the previous gap-up at 413.7 (although not very convincing). My strategy for tomorrow is to go short after breaking the 413.7 barrier (say 413.2) with a very conservative stop loss.
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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.