What the heck is SPY doing?
On Monday Spy broke the trendline on the downside again, but it quickly recovered and ended the day above it.
Today we smacked on that old resistance from November 22nd around 473 and began trickling down.
No real new info, covid is still covid. Inflation is still a problem, rate hikes are still coming, global market disruptions continue. Innovation churns along.
What is drawn:
The Red Line
If there is a market dump to end January and we hit the dreaded 449 it will have been a shooting-star into bearish engulfing for the months of Nov, Dec, Jan.
This will be a strong signal that the bull market is likely over and a heavy correction is on the way.
The White Rounding Top
I feel the market is in a rounding top, I expect if SPY hits this line it will retrace (Pattern is broken once the day ends over the marking).
Yellow Downside Trendline
Spy seems to respect this trendline, If SPY ends a day below this trendline it may result in a retest of The Red Line.
This is all my opinion
Today we smacked on that old resistance from November 22nd around 473 and began trickling down.
No real new info, covid is still covid. Inflation is still a problem, rate hikes are still coming, global market disruptions continue. Innovation churns along.
What is drawn:
The Red Line
If there is a market dump to end January and we hit the dreaded 449 it will have been a shooting-star into bearish engulfing for the months of Nov, Dec, Jan.
This will be a strong signal that the bull market is likely over and a heavy correction is on the way.
The White Rounding Top
I feel the market is in a rounding top, I expect if SPY hits this line it will retrace (Pattern is broken once the day ends over the marking).
Yellow Downside Trendline
Spy seems to respect this trendline, If SPY ends a day below this trendline it may result in a retest of The Red Line.
This is all my opinion
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.