The Big Short - SPX ready to break bull trendline.In this chart I show the Elliot wave using TV public indicator where we will end up.
In my attached chart I show how similar patterns have happened and how we are ready to drop again. I believe the trendline will break starting tonight and/or Monday.
I use TA, EW, Patterns, SMA, Trendlines, and more to verify what I show.
Note: I only use public available indicators in all my charts
Spx500short
AAPL: S&P500 RELATIONSHIP / PIVOT / TECHNICALS IN FAVOR OF BEARSDESCRIPTION: In the chart above I have included a macro analysis of AAPL & its congruent relationship with the S&P 500 INDEX. AAPL is to be consider one of the major players when it comes to overall US MARKET PERFORMANCE & is the reason why understanding AAPL's price action momentum is so vital.
POINTS:
1. AAPL channel deviation where liquidity usually occurs between SUPPLY & DEMAND = 12.50 POINTS
2. Macro Trend: Downtrend Channel; Micro Trend: Uptrend channel with Bearish Ascending Triangle Formation
3. Macro Trend continues to make lower highs & lower lows after peak from January 2022.
TECHNICALS:
RSI LEVELS on the DAILY time frame have been squeezing into overbought territory for the past 4 months.
MACD LEVEL is in common overbought territory where rejection & downturn is indicative.
BULLISH POINT OF CONTROL: 167.50 POINT must be broken to the upside in order to invalidate BEARISH SETUP.
BEARISH POINT OF CONTROL: 155.00 POINT must be broken in order to further validate BEARISH SETUP.
FULL CHART LINK: www.tradingview.com
NASDAQ:AAPL
SPX500 Next Possible MovePair : S & P 500 Index
Description :
Bullish Channel as an Corrective Pattern in Long Time Frame and Rejection from the Upper Trend Line
Break of Structure
Completed " 1234 " Impulsive / " AB " Corrective Wave
Divergence
Impulse Correction Impulse
Rising Wedge as an Corrective Pattern in Short Time Frame
VIX: VOLATILITY CYCLES / COMPRESSION / DIVERGENCE / PUTOVERCALLDESCRIPTION: In the chart above I have included an update on a MACRO analysis of VIX VOLATILITY CYCLES. The creation of a set of new cycles is marked when VIX finds a new floor of support.
POINTS:
1. Deviations have been adequately adjusted for VIX with a 7 Point difference between CHANNELS.
2. Price Action is currently resting at NEW FLOOR of 19 & Price Action is consolidating.
3. 5 YEAR TREND LINE IS APPROACHING MONTHLY PRICE ACTION FLOOR.
3. NO RECESSION AFTER 1998 HAS EVER COME TO AN END WITHOUT VIX FIRST SPIKING TO 40 OR 45 AT LEAST.
RSI: There is in fact a lot to be said for RSI as it rests roughly below the 50 Point average which would signal that RSI is set to flip into Oversold territory. RSI must reach the 30 Point average in the coming weeks or anything above the 30 Point average & rising could signal a divergence occurring between ascending RSI LEVELS & CONSOLIDATING PRICE ACTION WHICH CAN MAKE FOR SOME VIOLENT VOLATILITY IN THE NEAR FUTURE.
MACD: As of now MACD is resting at an average oversold level of -2.0 but is signaling a move to the upside in coming weeks.
MAIN POINTS OF CONTROL:
1. RSI DIVERENCE OCCURS AS RSI RISES & PRICE ACTION CONSOLIDATES.
2. MACD FLIPS INTO POSITIVE TERRITORY.
3. A BREAK OF 21 POINTS FOR PRICE ACTION CAN BE INDICATIVE OF FURTHER UPSIDE FOR VIX IN THIS SCENARIO.
FULL CHART LINK: www.tradingview.com
TVC:VIX
CBOE:VIX
S&P 500 Index Analyze !!!S&P 500 has been moving on Ascending Channel for about 12 years😱. S&P 500 had an Impulse wave with an Extended 3rd Wave . When wave 3 is extended , we can use from Elliott Wave Fibonacci Retracement and Extension Guidelines of extended waves :
🔅 If wave 3 is extended , waves 1 and 5 are often nearly equal in magnitude and duration.= This guideline is running correctly on my chart✅ = The end of the main wave 5 (Zone): 4505 until 4182
🔅If wave 3 is extended , then wave 4 often ends at the level of sub-wave 4 of 3 and is quite shallow (retraces 23.6% – 38.2% of wave 3). This guideline is running correctly on my chart✅
🔴 Heavy Resistance Zone : 5817 until 5348 .
S&P 500 Index Analyze Timeframe 2 Weeks ( Log Scale )
❗️ Note ❗️: I expect that S&P 500 would go down at least until the middle line of ascending Channel .
Do not forget to put Stop loss for your positions (For every position you want to open).
Please follow your strategy , this is just my idea, and I will be glad to see your ideas in this post.
Please do not forget the ✅' like '✅ button 🙏😊 & Share it with your friends; thanks, and Trade safe.
SPX Possible Paths forming a giant H&SUsing TA, Fib Ratios, Trendlines, Patterns I show what I believe possible upcoming paths for the S&P 500 (SPX). In taking these paths the S&P is forming a giant Head and Shoulders which is a bearish pattern. I also show using an explosion graphic where I believe once the head and shoulders hits...then all bets are off in this bear market and it will be testing lower lows.
Note: I only use public indicators in all my charting so nothing is private or custom.
Head and Shoulders forming on the dailyUsing Patterns and other TA I believe the market will follow one of my two paths to retest the high on the right shoulder before continuing down to complete the pattern.
I also used other TA to confirm what I'm seeing on this chart. I try to make my charting simple that others can looks and be like oh yeah that makes sense.
Am I always right? Heck no... Not to toot my horn but I did just recently call the bitcoin blastoff just before it happened so I think my charting is OK. Look under my other ideas... you will find it... Even some comments like are you crazy...why would it blast off here...and like a day or two later it did.
Will it continue to go up and test the high now or drop before trying again later? I guess next week we will find out.
Have a good extended weekend!
Note: I only use public indicators and TA tools to make my charts. Nothing is private or custom.
Head and shoulders forming?Using TA, Indicator's, and Elliot Eave theory I show we are nearing a reversal point and soon will drop down (mini crash) to one of the indicated fib ratios. Then the fun begins… that is if your positioned accordingly. Why? Because that completes a giant head and shoulders on the Daily. … which means… more down shortly but one step at a time.
Note: I only use public indicators. Nothing I use in any of my charts is private or modified.
Dumb money is about to have the rug pulled againUsing Patterns and Technical Analysis including dumb/smart money I show what I believe is a reversal about to happen. It will be forming the right shoulder of a large Head and Shoulders pattern forming on the daily which will continue the bear market. I also believe the downside will soon accelerate after one more up after it reverses next week.
Note: I use only public available indicators in all my charts. Nothing is custom or private!
Era of mean reversion, SPX year timeframeHi traders,
I'm sure everyone who watches markets has made some kind of chart like this over the past six months, but I thought I'd share for those of us more comfortable with reading price action rather than economic reports or the news (obviously one needs both to be a truly excellent trader or analyst).
I marked off with the pink vertical lines every low during a correction of SPX below its 21 year EMA (yellow line), before it started back up over the 21 EMA again. Soon after that low, the 21 EMA crosses the 21 year SMA of the Bollinger Bands (red line). Highs just before each of the pink vertical lines are marked by circles. The periods of both the correction low (pink vertical line) and the aftermath (21 EMA crossing 21 SMA) represent some of the toughest periods in recent economic history, at least as measured by this particular market.
NOT ADVICE:
From a trader's perspective, assuming we're starting to see another correction that will follow a similar pattern (i.e., a correction in which price crosses down over 21 EMA and hits a low before crossing back up), a reasonable target for SPX to cross down over the 21 EMA would be 2169, assuming 3:1 reward/risk. Corresponding stop-loss would be 4610 (NOT ADVICE). On this high timeframe I interpret that 4610 value not as any kind of actual stop loss for an actual trade, but as a rational expectation for the highest SPX level we can expect over the next few years during the correction. NOT ADVICE
On a (even) darker note, the CT moving average crossover indicator currently registers "impossible" for the 21 EMA to cross the 21 SMA. To me that suggests either (1) that a much greater drop of currently unknown proportions in SPX is required below the 21 EMA (i.e., below 2169) to bring the 21 EMA down to the 21 SMA or (2) a period of consolidation and slow drift toward the 21 SMA, in order to shrink the difference between the 21 EMA and 21 SMA. I suppose the former could be called a "hard landing" and the latter a "soft landing". In my opinion, the "impossible" reading on the CT moving average crossover indicator suggests the latter scenario is at least the more rational position to take, at this point, though I plan to be ready for either scenario, of course. NOT ADVICE
Good luck, everyone.
SPX to see a temporary move higher?US500 - 22h expiry - We look to Sell at 4018 (stop at 4057)
Buying pressure from 3867 resulted in all the initial daily selloff being recaptured.
An overnight positive theme in Equities has led to a higher open this morning.
A move to 4022 will form an intraday bearish Gartley pattern.
There is scope for mild buying at the open but gains should be limited.
Preferred trade is to sell into rallies.
Our profit targets will be 3921 and 3901
Resistance: 4017 / 4022 / 4086
Support: 3924 / 3900 / 3820
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
"Crash landing" instead of "soft landing"?Yesterday, U.S. inflation came up in line with expectations, and the market continued to enjoy relief after last week’s route. However, while the FED is progressing in fighting soaring prices, many problems are still on the horizon (declining corporate profits, rising unemployment, the persistence of tight monetary policy, problems in the banking sector, etc.). As such, market developments are starting to align for the “crash landing” instead of the “soft landing” that everyone was so eager to forecast just a month or two ago. With that said, we remain bearish on the U.S. stock market and expect it to decline by 20-30% in the coming months. Accordingly, we maintain our price target for SPX at $3 400.
Illustration 1.01
The picture above shows the daily chart of SPX and simple support/resistance levels.
Technical analysis
Daily time frame = Bearish
Weekly time frame = Slightly bearish
Illustration 1.02
Illustration 1.02 displays the daily chart of SPX. The yellow arrow indicates a bearish crossover between 20-day SMA and 50-day SMA.
Please feel free to express your ideas and thoughts in the comment section.
DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not be a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.
US02Y: BOND MELTDOWN / 4.00% CROSS / MACD CONVERGENCE / RSIDESCRIPTION: In the chart above I have provided a simple MACRO ANALYSIS on current bond market meltdown where the US02Y dropped nearly 25% within FIVE TRADING SESSIONS.
POINTS:
1. US02Y deviation is simple & marked at every 1% difference as bonds rise and fall within the same range percentage therefore it has a rubber band like price action relationship with it's lowest 1% points.
2. Overlapping Orange Line represents ES1! a US Market Future.
3. Dotted Green Lines represent continuous downward momentum in past Bear Markets (2002 & 2008).
4. Bubbles overlapping dotted green lines represent initial break of supporting bond percentage %.
IMO: In my opinion the most concerning factor to take into consideration when it comes to current bond positioning is the STEEP RISE IN PERCENTAGE especially when the overall US market momentum is tied to BOND PERCENTAGE during both RISES & FALLS & the STEEPER THE INCLINE THE STEEPER THE DECLINE can become.
MACD: Notice a complete meltdown of Bonds when MACD confirms convergence to MEDIAN & eventually breaks past median and falls into into negative territory.
RSI: Notice that unlike in other recessions RSI levels have seen more consistent exposure to MEDIAN of 50. But as of lately from a MACRO perspective that is not the case as we have seen current RSI levels linger around 70 or above in EXTREMELY OVERBOUGHT TERRITORY.
SCENARIO #1: In a very BEARISH scenario we come to see BONDS PERCENTAGE go through a complete free fall.
SCENARIO #2: In a less BEARISH scenario we come to see BONDS PERCENTAGE go through an extended consolidation phase with PERCENTAGE LINGERING ABOVE 4%.
FULL CHART LINK: www.tradingview.com
TVC:US02Y
SPX - bottom in 2024 (NEW)hi traders!
In September this year we have published a trading idea where we identified the Rising Broadening Wedge on SPX chart, which is a bearish pattern and we predicted more downside to come:
In November we looked at the chart from a different angle and we published the idea where SPX continues the downtrend as it's getting rejected from the downsloping resistance line:
Both publications are still valid and we expect those targets to be reached.
Today, in this trading idea, we would like to show you something very interesting on a monthly time frame.
What you can see on the chart is that:
-Major trendline was acting as a support from the beginning of 2009. It's a very important support as we've never seen a monthly close below this trendline. In 2020 (COVID crash), the price faked out but eventually it closed above the trendline.
-Last retest occured in March/April 2020
-We expect that the next retest of this key trendline will be in 2024 as probably the recession will get worse in 2023 .
On the other hand, we don't expect such a huge drop like in 2008 /2009 when SPX dropped 57 %.
False breakout below the trendline may occur like in 2020 but we believe that a monthly close will be above this major trendline.
2023 and 2024 will be a great time to accumulate stocks (and crypto) at huge discounts. The opportunity will present itself but it's not there yet. Patience is the key.
Do you agree? Will the trendline hold this time?
Or maybe you think that SPX won't retest it in 2023/24 and SPX has already bottomed out?
Share your opinion in the comment section!