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Es1!short

SPX - Headfake of the Year - Part 2The current technical conditions are listed below: 1. The price has broken out of the blue pennant, but has not accelerated upwards, increasing the odds that it is a head fake. 2. The price has also broken out of the black pennant, and has also failed to accelerate upwards. 3. Volume has had an inverse relationship to price for the last two months, which is a strong bearish indicator. Volume leads price. 4. ROC has had a direct relationship to price for most of the last two months, but has diverged sharply over the last two weeks. It is now hovering just above zero even as the price closes at new highs, which is very bearish as well. 5. The red line is an area of long term resistance that has existed since September of 2018.
CME_MINI:ES1!Short
by ValkyrieBlue
S&P Analysis Week of 10/24/2020: The Calm Before the Storm?The week before the election. Will market's make a big move or wait until next week? This week has a lot of information on the chart. I generally try to keep my chart's as simple as possible, focusing on major areas of support and resistance and trading based on price action/setup. I try my hardest to not let my bias drive my trading. However, price is still in an uptrend but starting to show a lot of bearish patterns and breakdowns. Price has a lot of work to get above all time highs again. Note: Price originally formed a bullish flag pattern/channel, but since has started building a more bearish wedge (consolidation zone). At this point, price is building energy (has been trapped in the consolidation zone for almost all of last week) and when it breaks, it will break hard to the upside or downside. It is impossible to know with certainty which way it will break (which is why I labeled this small consolidation area 'No Man's Land.' My two main trade setups are a break above (with retest) ES 3535 or breakdown below (with retest) ES 3400. I did include a trade within No Man's land that someone could technically take if it breaks above the consolidation zone (after a retest). However, I labeled this risky because of the multiple upper resistance trend lines and horizontal lines above this area. If you do take this, be sure to have a tight stop loss and move your stop loss to break even when you hit resistance. I think it's better to get stopped out at break even if you do get into this trade and it starts to print. A break even trade is better than a loss (especially taking it in a No Man's Land area). I'm not really confident the markets will give any good trades this week. I am not anticipating any large moves outside No Man's Land prior to the elections in the U.S. next week. I could see further consolidation within the No Man's Land area. I also don't think it matters who wins the election because the market is going to do whatever it has planned. The one thing that will impact the volatility is clarity in the results of the election. If it looks like it's going to be a battle to declare a winner, then you can definitely assume more volatility. However, the market is still going to go in the direction it would have regardless of results. Hope that makes sense. Do not play the breakouts or breakdowns. Always wait for price to come back to test the breakout/breakdown area and resume off. This is just a general good trading principle. Remember: "When it feels really right, it's probably wrong. When it feels really wrong, it's probably right." Good luck trading. Don't forget to support me by hitting the like button. Note: I've switched from using the symbol SPX500 in my chart to using the ES futures contract because I trade off the ES and it makes my life easier putting my chart on this symbol. The trade setups should be the same, just different numbers. The ES tends to line up more closely with the numbers on SPY.
CME_MINI:ESZ2020
by XYZ-Trader-
2
Mild correct in US stocks, Pre-Election pump then Market Crash!It's never easy to predict anything in the market. All we can do is look at the current events, information and make educated guesses and anticipate the move higher or lower. That is exactly what is done here! We are in a "pullback" area where the market is in a correction move right now where the S&P 500 (the economic index) is down about 7% from its all-time high, considering the most recent all-time broke the prior all-time high by 5.5% we have given back a normal amount of low volume gains. These gains were partially accumulated by Soft Bank and retail investors. This is a healthy correction in these market conditions where you have severely overvalued tech that leads the rally. We have outlined a lot of things in this image. Where the prior all-time high was that did not hold much of a support zone. From there we could pull back into the next structure high which is a 8.7% pullback and comes into a huge volume profile level that should hold at least temporarily at 3275. The next level below should the price continue to slip is 1. the prior peak higher before we started this huge rally and saw a 9% drop off the level and 2. The volume profile edge or value area high. this is a pivotal area around 3220 and the 10% drop from all-time highs. From there we don't have to stall out and continue to push back up again, we could drop through that level by a few more percent. However, we do anticipate a red September on the back of fund rebalancing. From there we do expect a rally into the Federal Election. This would be on the back of Fed stimulus coming through and helping revive the economy to their best efforts. This would also help Trump look really good ahead of the election if the economy prints a positive GDP quarter and the market is at all-time highs. However, beware of advancing Biden in the polls which could put a damper on the upside of the market. We do anticipate a nice pre-election rally to push into all-time highs. Maybe not 3,700 but a target is 3,630-3,650 to the upside. From there we expect a very interesting phenomenon to occur. The post-election crash, typically seen throughout a "crisis" year where we have an economic downturn, as we've seen over the decade. After an election, the market gives up a huge portion of the gains, regardless of the winner. In this case, if Trump is to be re-elected the downside may be more muted compared to Biden's win. Should the market drop to 2870 right now we would enter a bear market, if we get up to 3,750 pre-election a drop to 2870 is a 23% drop, some say that we may erase 4-year worth of ES gains post-election which is a bit on the aggressive and dark side. Retrospectively, we do have an optimistic sentiment throughout the majority of the end of the year but could see a gloomy end to it all.
CME_MINI:ES1!
by TRADEPROAcademy
7
Pre-elections trading. ExplainedSP500 broke to the new highs. Volume is still very low and the Advance Decline Line doesn’t support this rise too. It is bearish. However, there is still a lot of momentum in this market. Likely we will see choppy trading with upside bias till the middle of September followed by a decline till the end of the month. Pay attention we are getting close to elections. With that in mind, I believe that pullback (if any) will be bought very fast. Besides, the Fed Funds forecast signals a rally coming at the end of September. The best thing we can do now is intraday trading. There is a chance for a swing trade, but only in a month from now.
CME_MINI:ES1!
by UnknownUnicorn1156963