S&P 500 - Fan Reversal Setting Up
Updated
The S&P 500 is forming a Base below the Supply Zone.
A Fan is apparent from the origin of the Rally. Three ascending trendlines connect to price action within the base.
The Fan reversal begins to set up once price crosses/breaks the 3rd trendline. Price action will be contained within the consolidation, with a possible false break
If you look to Volume and Momentum, both show a progressive divergence is in play and are bearish signs.
The trigger to short is a clear break of the Support Level at 5560.
The bias is for a small correction only (.382 fib), before a break to a new ATH.
A Fan is apparent from the origin of the Rally. Three ascending trendlines connect to price action within the base.
The Fan reversal begins to set up once price crosses/breaks the 3rd trendline. Price action will be contained within the consolidation, with a possible false break
If you look to Volume and Momentum, both show a progressive divergence is in play and are bearish signs.
The trigger to short is a clear break of the Support Level at 5560.
The bias is for a small correction only (.382 fib), before a break to a new ATH.
Trade active
Target is close
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