H1 - Bearish trend pattern
Currently it looks like a pullback is happening.
Until the two strong resistance zones hold I expect the price to move lower further after pullbacks.
Dear All,
This is SP500 to GDP Ratio chart which is show us maybe we should ready for another crisis. If you compare this chart to Will500PR to GDP Ratio I have published before you can clearly see negative bearish divergence between these two that means total public traded shares do not touched higher top but SP500 index reaches higher rates; So its obvious to...
H4 - Bearish trend pattern
Currently it looks like a pullback is happening
Until the two strong resistance zones hold my short term view remains bearish here.
H1 - Bearish trend pattern.
Currently it looks like a pullback is happening.
No opposite signs.
Until the two strong resistance zones hold my short term view remains bearish here.
Ten days ago, I wrote about a correction of the SPX back the red support zone. Now the time has come to talk about what could happen next.
The correction didn't happen in the beautiful fashion i had forseen, but this still works. What i expected was a clear zigzag formation within this falling channel, but we broke the support trendline and reached the first real...
It looks like the SPX has topped out temporarily. This woudn't be too farfetched as the previous couple uptrends lasted for 34, 36, 21, 23, 40, and 33 days. Right now, we're looking at a top which has been formed after 28 days.
From the looks of it, its trying to form a falling channel. The properties of this pattern are:
- Declining parralel support and...
The SPX made a false breakout. A false breakout means that the price attempted to break out of a pattern, or break support/resistance. The attempt is successful for a short amount of time, before the price goes back to where it was. This usually is a reversal signal.
For now i'm staying bearish, untill the price goes sideways or manages to break the resistance...
SPXUSD daily guidance is cautiously bullish. Recommended ratio: 80% SPX, 20% Cash.
* GOLDEN CROSS WATCH . US December CPI came in 0.1% lower than in November (which saw a rise of 0.1% from October), whereas Core CPI came in 0.3% higher than in November (which saw a rise of 0.2% from October). The UofM Consumer Sentiment Index (Preliminary) for January is...
A small follow up for the bullish case of the SPX:
We're still in the resistance zone, located below the resistance line of the bigger falling channel we're in.
Now we've seen the first rejection of the upper part of the resistance zone, however, we just shot right back in. That is still bullish. Right now, the bullish case for the SPX is still in play, and im...
In the last SPX post, I started to doubt my bearish scenario of the index, by saying that the price looks bullish on the short term. Now that we've seen a short term pump to the resistance, I wanted to give an update.
Right now, the upper level of the resistance zone has been touched. This begs the question: Are we going to see a break of this resistance zone. If...
SPXUSD daily guidance is neutral with a bullish bias. Recommended ratio: 52% SPX, 48% Cash.
* US New Residential Construction saw Building Permits for November down 11.2% from October to 1,342,000 and November Housing Starts down 0.5% from October to 1,427,000 . These numbers are reflective of an economy preparing for weakening demand as we head into 2023. ...
SPXUSD daily guidance is neutral with a bearish bias. Recommended ratio: 45% SPX, 55% Cash.
* The FOMC announced a 50bps rate hike today and adjusted their Dot Plot to reflect a 5.1% FFR in 2023 . Markets rallied prior to the announcement and then fell shortly after, though this could have been a short-squeeze, Equity and Crypto markets could see more...
SPXUSD daily guidance is cautiously bearish. Recommended ratio: 35% SPX, 65% Cash.
* BOUNCE WATCH . It's volatile week with investors preparing for another FFR hike (12/14) that is widely expected to be 50bps (with a chance at 75bps) as China continues to formally lax their Covid-Zero restrictions in major cities like Beijing where people with a negative PCR...
SPXUSD daily guidance is cautiously bullish. Recommended ratio: 65% SPX, 35% Cash .
* US EMPLOYMENT SITUATION WATCH . If Unemployment reports higher tomorrow (which with the amount of layoffs in corporate USA these days would be reasonable), this would signal that the FOMC's monetary policy is becoming increasingly effective and they will likely go ahead with...
SPXUSD daily guidance is neutral with a bullish bias. Recommended ratio: 60% SPX, 40% Cash.
* October CPI rose 0.4%, the same increase as in September ; but what moved markets was that Core CPI rose 0.3% compared to 0.6% in September. Such an impulsive rally after one dovish CPI print is hardly sustainable in a bear market; however, if the UofM Sentiment...
