S&P500 - Too good to short?Many indication point to a near term short.
1. The blue Arrows measures the pullback swings. Currently we are exactly at the highs, where price usually turned south.
2. Price got rejected again right at the KillZone
3. The A/R Resistance converge with the current high.
4. The indicators MACD & RSI signal short.
So, what's a Trader to do here?
Could price move even higher? Sure, no doubt. These markets are highly manipulated and trading totally crazy.
But...we are Traders. We live on probabilities and good money management.
For me, this is a superb bet.
And how could we play this short?
Because of the volatility, I stopped to go in with the whole position in one spot.
What does that mean?
It means, that I enter such trades in 3 stages, using reverse pyramiding. It can be with the underlying it self, or with substitutes, like Options, or even a combination, depending on my risk and greed level.
So, why not just enter with a small position in the Micro-Futures, and pump the trade up on confirmation?
Bet small. You can always re-enter any market, as long as you have money in your account!
Stay well, trade well.
#pigsgetslaughtered
Sp500short
SPX500 Weekly Game Plan $SPX500 Game Plan
As much as I hate opening a position against the trend, these are two levels that I will be observing. In an ideal scenario I want to open the short upon confirmation. What does this mean?
If price reaches one of the two levels - $4524 or $4586, I want a small retracement followed by a double top or lower low. I can then open a short position with a stop loss above the recent high.
For the first order that would be somewhere around $4547, and for the second order that would be around $4617.
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P.S. I've been inactive for the past month, so I do apologize to those following me. I am picking up the trades again and soon I will release my new core trading strategy, which relies on trend following and so far has been very promising on indices and commodities, which is what I mainly trade.
The US Markets Have Not Fallen yet
It's make me angry! All this situation around Ukraine. I'm from Russia and I'm not ashamed of it. Although there has come a period that it is not safe to be Russian now. And I'm worried about my kids because their mama is Russian. My husband from Germany and we live in Germany now and it is here that anti-Russian sentiments are especially strong!
I always considered myself intelligent and thoughtful, it's not for nothing that I work as a financial analyst. But now I feel confused.
If I would stay in my country I believe that I will have more opportunities to use this situation but I'm here. I'm sure that european governments understand what they doing. And also they represent what kind of reverse effect sanctions against Russia will give them.
The United States has imposed a ban on the import of oil, a number of petroleum products, liquefied natural gas (LNG) and coal from the Russian Federation. The British Foreign Ministry called on Europe to extend sanctions on oil and gas from Russia.
I will not say that many people will lose their jobs in Russia because of sanctions, and life in general will become more expensive. But it will be hard in Europe, too.
Have you seen gasoline prices yet? In Germany, the cost of 1 liter has increased to 2.30 euros, in the Netherlands it is already 2.5 euros. Ads appeared in stores stating that there are restrictions on buying products in one hand. And it is only beginning…
If you ask how did the sanctions affect me? I will answer that for the third week my work has been frozen because there are no traiding in russian stock markets. Some of the clients I work with are also from Russia, their accounts are also blocked, my bank card is disconnected from SWIFT and I can no longer use it until I return to Russia.
What else? Oh, yes, the dollar and euro exchange rates against the ruble have increased by 38% and 30% over the past two weeks.
The news that I read and analyze in Russia and Europe differ as black and white. I will not say who is right, the truth is in the middle. But why does everyone forget and do not want to admit that this whole situation in Ukraine happened thanks to the support of America? And that the Russians have been oppressed for 8 years? And that in general, the United States has always benefited from war on the territory of other countries and it is convenient to write off miscalculations and failures in the economy under this idea.
I apologize for this post, but I can't stay silent anymore. I want other people to think about what is really happening and that Russia is not the first country to face an economic blockade, there were Iran and Venezuela. So the point, as always, is who benefits from it!
The US markets have not fallen yet, look at the weekly chart of the S& P500 and remove all illusions, the nearest target is 3600-3800 points.
ES - S&P 500 - Profit P5 Is CommingWonderful how the Count 0-5 works out.
At P4, price should reach the U-MLH. But instead it turned south, leaving a void up to the U-MLH, which in a Pitchfork-Trader term is a "Hagopian".
The Rule Of Dr. Hagopian: Price will move more in the opposite direction than from where it came.
In this case, price came from the CL (Centerline). And therefore price moves beyond the CL, which it did.
Another beauty how the rules of a Pitchfork-Trader work. It's just great to know that they work with a super high probability. Not everytime, but more than enough to print $ §8-)
OK, now what?
Well, when price went below the CL again, it zoomed through. After a Zoom we expect a pullback. And it did. Another rule that worked out.
After the pullback, price got rejected. And there it lies in front of us, the final target P5.
This P5 of course can be much lower than in this screenshot projects it. However, after price reaches P5, prepare for P0 (zero).
P0 again?
Yep! After a P5 the full Swing/Pivot process has played out, and we start from new, just in the opposite direction. It's kinda printing money like the FED - just without lying and megalomania (also known as delusion).
I hope this makes you curious to trade with Pitchforks. They're just a tool. But when used in the right context of your trading, they will be PLATIN for your profits... and nerves too §8-)
Stay save out there.
#ILoveThesePitchforksLikeSwissCheese
SPXU INVERSE ETF TRADING IDEA FOR FOMC MEETING 3/16/22This is my trading strategy for March 16th, 2022 on the next FOMC meeting. Using inverse 3 x etf is like doing options without options. They track opposite of whatever it is they track. In this case the SPXU does the exact opposite of the SPY S&P 500 ETF .. The spy tracks the S&P 500 markets.
So I'm setting up a position on morning opening day of March 16th, Wednesday with $6,660 position anticipating a 5-8% return x 3x since the SPXU is a 3 x inverse..
Be very careful using 3x inverse or any inverse etf . YOU HAVE TO WATCH THEM LIKE A HAWK. They are not meant for long term or swing trade. They are for 1 day intra day only and can be very dangerous if you don't use them properly. They can also make you quick FAST money , BUT YOU CAN ALSO LOOSE ALL YOUR MONEY IN 1 DAY, if you DON'T KNOW what you are doing..
This is what I am doing. I am not giving trading advice. I simply share some of my trading ideas here...
PS.Disclaimer
I’m not a certified financial planner/advisor, a certified financial analyst, an economist, a CPA , an accountant, or a lawyer. I’m not a finance professional through formal education. The contents on this TA,( Technical Analysis ) site are for informational purposes only and do not constitute financial, investment, trading, accounting, or legal advice. I can’t promise that the information shared on my posts is appropriate for you or anyone else. By using or reading this technical analysis you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information found on this analysis, post or newsletter.
SP500The world’s most important stock market index, the S&P 500, closed Friday with its lowest weekly close since June 2021, and is very close to making the first “death cross” / “bear cross” (50 day moving average crosses below the 200-day moving average) seen since the coronavirus shock of March 2020. This is typically a bearish sign and indicates lower prices are somewhat likely to follow, which is of course supported by the risk-off sentiment caused by the Ukraine crisis. It is probably not a good time to be buying stocks or trading this stock index long, and we can expect this moving average cross to happen very soon.
S&P500 calls for short - Head & Shoulders TOPFollowed by the Rising Wedge Breakout, we can see very clearly that SP500 lost some momentum - all of this on the background of Fed's Rate Hikes Expectations.
The Head and Shoulders pattern is clear and obvious - let's dig some more important details:
1.Volume Distribution:
The volume distribution in a proper H&S Top should be concetrated on: The left Shoulder, The Head, or both of them - but never high on the right shoulder.
Note that high volume on the left shoulder and on the head are not that significant, while majority of the volume concentrated on the second bottom of the H&S.
The volume distribution here does not support the expected implications of an H&S breakout, and therefore, we should consider a short trade with a bit of suspicious.
2. The Breakout
The first breakout of the Neckline occurred with a little peak in volume - this situation tells the trader to wait for new lower top to test the Resistance of the Neckline.
And indeed, the patient trader received the expected new lower top, and on Friday the power of sellers was present.
The inability to raise above the neckline and the fact that the price rejected from there - was a strong tactical signal for those wanna dive deep into profits.
3. Price Target
By H&S Measurement rules, the objective of minimum potential is 3,865.
When considering the overall Technical picture, the historical resistance from September 2020 (3,592) looks very solid to serve as strong support level.
Conclusion:
Technical wise, the picture is very clear and convenient to initiate a Short trade while maintaining a Stop Loss above the last minor top.
Fundamental wise, the Fed is about to hike 25bps on coming Wednesday, and expected to hike 6 times along 2022.
The collision of Russia-Ukraine sets a descent platform for inflation super nova on commodities whom which cause a liquidity problems and chaos on international trade.
Reversal:
There is might be a scenario in which the Fed will flip over and suggest that the "unexpected" war developments will require the take the leg of the pedal of Monetary tightening and go for more dovish policies in form of QE and maybe keep IR low, I think the possibility of such scenario is low, but still - In such case, all the short thesis is canceled and we should wait to see how the markets react to such case and trade accordingly.
Good Luck!
S&P 500S&P 500 making LH's on 1H chart. So following 2 scenario may be possible
1. Short from current level @ 4240, which is 38% fib level and bearish trend line resistance also.
2. Short from daily level and 50% fib level @ 4280.
Sl will be around 4325 and tp @ 4175
S&P500: Selling On A Pullback 8-3-22 S&P 500 – Cash: Selling A Pullback Into The Range Of Bearish Fakey Setup
Price Action: There is no new price action signal to note at this time.
Price moved lower from the recent Bearish Fakey Setup that had formed, mid-last week.
Price broke and closed under the 4245 – 4270 prior key support area.
Price briefly moved higher from the prior Bullish Pin Bar signal that had formed, over a week ago (We did not consider trading this signal as it had formed just under the short-term resistance area and against the recent short-term Bearish trend).
Potential Trade Idea 1: For more aggressive traders, we are considering selling if price pulls back to within the range of the recent Bearish Fakey setup, with risk management above the Fakey Bar.
Potential Trade Idea 2: We are still considering selling on a retracement higher and only after clear price action signal, whilst price remains below the 4484 – 4494 resistance area.
ES1! - S&P 500 P5 Is CommingThe Red Pitchfork
...projects the most probable path of price. Price has a high tendency to trade within this projection. Don't fool yourself - it's not just a Channel. It's nature derives from teh law of physics. That's the reason why pitchforks are so accurate.
The SHIFT in price was a perfect one. It's not ususal that a shift in price shows up that nicely.
The Count 0-5 gives us a idea, where in the 0-5 cycle we are (has nothing to do with Elliot-Wave). Currently price works on P4. Watch closely: From 2 to 3, there is a pause - a Pivot. I call these moves Sine-Waves. Most of the time, the middle part of the SW, the pause, will be breached, before price turns it's primary trend, which in this case is down.
That's where the yellow horizontal line comes into the game. I would not be surprised to see the S&P500 up there, breaching htis yellow line and then turn back south to create P5!
So, the Pivot Nr. 5 is waiting to come into reality. I observe short signs, because I don't want to miss out on this huge leg for "Steak & Lobster" as MaverickOfWallstreet sais §8-)
S&P 500 to reach 4118 or 3990.5 before next bounceIf S&P 500 closes below support level of 4291.25, which has held since July of 2021, then that would be confirmation of the following idea.
The S&P 500 is likely headed to 4118 or 3990.5, which are the fib extensions of the downtrend which began on Jan 4, 2022, marked as point A on the chart.
Points A, B, and C on the chart were used to create a "Trend-based Fib extension" with the same tool that is built into Trading View.
A close above 4291.25 would threaten to invalidate this idea.
SPY troubleHello Guys, this is a quick update on SP500. Last time I left you calling the double top and evening star pattern while many were expecting higher prices and possibly new highs. As you can see the double top has worked perfectly passing its target of 430. What can we see now? SPY has formed a perfect Head n Shoulder top. This is extremely bearish...if validated. As you can see many properties of this HnS are textbook (50 MA supporting the move, LH, LL). However, the volume is a bit atypical. We can see the volume has increased considerably at the beginning of the RS in an attempt by bulls to hold SPY on support. nevertheless, the rally was short-lived with volume decreasing and increasing on sell-off. I expect now a small bounce from here retesting the diagonal resistance (Head to Rshoulder) and a possible retest f the 50MA. If this attempt fails to break the resistance then I'll be expecting the HnS to workout perfectly.
The target would be 377 ish, or 3770 if you are tracking the SPX.
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ES1! - S&P 500 Bear CountThe 0 to 5 count is very helpful in determining the current state of Swings & Pullbacks.
Any Swing or Pullback can be counted from 0 to 5.
When 5 is reached, it restarts from 0, again to 5, just in the opposite direction.
This count is most effective when you count the real Swings. By "real" I mean, if you follow these Rules:
Up-Swings:
A new high is CONFIRMED when the last low got broken
Down-Swing:
A new low is CONFIRMED when the last high got broken.
Here in the S&P 500 we see 3 different counts.
- grey = Pendulum Swings, the biggies
- yellow = Swing count withing the Pendulum Swings
- red = Pivot count within the yellow Swing count
Currently we are in a overall down-count.
Nr. 3 of the grey, Nr. 5 of the yellow and Nr. 3 of the red. So, a very good short opportunity.
Another short indication is the nice dobule-top at the white center line of the up-sloping pitchfork.
And finally the bear flag where you see the red 1-2 count.
If all this fails, then we see a much higher grey 2,4,5 high count.
Let's find out.
S&P 500 SHORT POSITIONlet's go for the crisis, I am going to maintain the position in sales throughout the fall, adding new sales in corrections, taking partials and keeping most of them open positions, the entry is due to the inflation generated in the United States and a break in the structure of the market, looking for it to return to previous areas of demand
SPx500 (Y22.P1.E2). More correction?Hi All,
We have seen the 1st announcement with interests rates which dropped the market.
We just got another increase announcement slightly more than what the market expected. CPI.
Just looking at the chart and channel, I think the 2 scenario's are valid.
ABC correction is taking place with a mild or deeper correction to play out.
The deeper correction can play out to a descending wedge.
As you can see on the RSI, we have a signicant bearish divergence.... I have 3 scenarios based on the RSI history.
I don't favour any....but its worth having some cash handy now for the drop.
All the best,
S.Sari
ES1! - S&P 500 Short Leg to the southWe have:
Counting 0 to 5 and we had a DT on point count 4. Now we wait for the 5 o a new low below the count 3
The orange A/R catches a lot of extremes, including the count 4 DT.
The red down-sloping pitchfork could give support on the U-MLH.
The pullback from 3 to 4 is EXACTLY 61.80% !
Guys & Gals, there is too much confluence IMO not to imagine that the ES1! will not make a new P5 Low.
This is ultra short to me, but of course, in these crazy markets only a proper stop can save us from a desaster. So use stops!
I'm short and I take my profit an P5 below P 3 if possible.
SP500- Bulls need 4400 intactAfter dropping to 4250 in January, SP500 has started to recover and has risen to 4600 confluence resistance given by a falling trend line and a horizontal level.
A correction followed this move and, again, SP has stopped its descent in 4450 newly formed support.
If the 15% drop from the beginning of the year was just a correction or the beginning of a medium-term downtrend remains to be seen.
What is pretty clear at this point is that as long as the price stays above 4400 we can expect a new leg up and a daily close under this figure would expose the recent low, but more importantly would confirm a lower high at 4600, which is very bearish for the stock market.
P.S: Charts are similar for Dow30 and Nas100