S&P 500 Why I am buying this dip
Updated
Very simple idea. The arrows show where buying the S&P at the 200 weekly EMA or below was a fantastic buying opportunity with plenty of opportunities to accumulate or perhaps buy long term calls.
The hammers show where it would have been beneficial for traders to either short outright or perhaps close their positions so they could buy back lower.
A zoom in shows a very steep falling wedge which would set up a quick move and an even quicker reversal. For traders that don't think a uptrend could be sustained or looking just to get the most off a potential short squeeze. the VPVR shows some high volume nodes were some profits could be taken and I will be evaluatiing price action at those levels for strength.
One thing the main chart does make clear that for longer than I have been alive, when the 200 does fail as support and price spills below there is a high probability chance that I can get out for a slight loss when the price retest the 200 weekly EMA as resistance. I will definitely be selling that rip should the 200 fold as support.
The hammers show where it would have been beneficial for traders to either short outright or perhaps close their positions so they could buy back lower.
A zoom in shows a very steep falling wedge which would set up a quick move and an even quicker reversal. For traders that don't think a uptrend could be sustained or looking just to get the most off a potential short squeeze. the VPVR shows some high volume nodes were some profits could be taken and I will be evaluatiing price action at those levels for strength.
One thing the main chart does make clear that for longer than I have been alive, when the 200 does fail as support and price spills below there is a high probability chance that I can get out for a slight loss when the price retest the 200 weekly EMA as resistance. I will definitely be selling that rip should the 200 fold as support.
Note
Hidden Bullish divergence and falling wedge appears to be engaging and price is predictably moving to the upside.
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