Bearish Running Triangle SPX
Updated
A bearish Running Triangle appeared on the SPX. Length of segment AB is 17 points. Subtract this from point E and you get about (3006 - 17 = 2989) target. This is a logical target since there is potential support just slightly below at about 2987. Using the rising green trend line connecting the 07/18/2019, 07/19/2019, and 07/22/2019 lows, you will be able to see this potential support level. Price action below this rising green trend line could open the door to 2970s and further selling pressure. If the rising green trend line is respected, then the market could be forming a decent sized SHS formation. I will discuss more about that in a later post if this happens.
Note
You could use a slightly more aggressive target starting from the break out area of the symmetric triangle. We get a target of (3001 - 17 = 2984). So I'm expecting some support in the 2984-2989 area.
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.