USA500 trade ideas
Upper Band Holds Post-Breakout - Classic Trend Signal in PlayDéjà vu? Not quite - but today’s session feels a lot like yesterday’s.
We’ve got a fresh mechanical bear trigger from a late-day Tag ‘n Turn setup. But much like the previous session, price action is telling us a different story.
Let’s walk through what I’m looking for.
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SPX Market Briefing
Yesterday’s session started with a bearish bias. But by the end of the day, the market voided the setup via the hedge trigger - and since I wasn’t positioned bearish, it was a clear signal to flip bullish.
Same playbook again today.
I entered yesterday bullish and didn’t babysit the charts. Today, I’m starting with a bearish mechanical trigger, but futures are holding up. There’s also a post-breakout continuation in play that’s clinging to the upper Bollinger Band - a strong sign of bullish trending momentum.
Bollinger himself suggested this as one of the most reliable signs of strength.
So what’s the move?
Bearish trigger? Yes.
Bear entry? Not yet.
I’ll defer bearish entries unless price breaks below the 5880 area, with a v-shaped entry.
If price stays above 5910, I’ll resume bullish activity as needed.
This is shaping up to be another go/no-go decision day - no need to guess, no need to jump early.
Let price make the choice. I’ll respond when it does.
GEX Analysis Update
5900 is looking like the key GEX level again.
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Expert Insights:
Mistake: Taking every mechanical setup without confirming price action
Fix: Use price structure (like Bollinger Band holds) to confirm trend integrity
Mistake: Jumping in without clear invalidation levels
Fix: Predefine bull/bear flip zones - today: 5880 and 5910
Mistake: Over-monitoring slow sessions
Fix: No need to stare at charts - mechanical setups do the heavy lifting
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Rumour Has It…
Bollinger Band Declared Emotional Support Tool
Sources say traders have begun using the upper Bollinger Band like a weighted blanket. “As long as we’re above it,” one trader whispered from beneath a desk, “I feel safe.”
Psychologists confirm it's become a market-wide security blanket, replacing support/resistance zones in all therapy sessions.
This is entirely made-up satire. Probably!
Breaking scoops courtesy of the Financial Nuts Newswire-because who needs sanity?
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Fun Fact
John Bollinger designed his bands in the early 1980s - not just to spot reversals, but also to identify sustained breakouts.
When price hugs the upper band after a breakout, it’s often signalling continuation, not exhaustion. It’s a feature of trend momentum, not a warning of collapse.
Today’s chart is textbook.
The system gives us the setup. But the context? That’s where discretion adds juice to the edge.
S&P 500 index Wave Analysis – 12 May 2025
- S&P 500 index broke resistance area
- Likely to rise to resistance level 5930.00
S&P 500 index recently broke the resistance area between the resistance levels 5800.00 (top of wave 4 from March), 5700.00 (which stopped wave 1 at the start of May) and the 61.8% Fibonacci correction of the downward impulse from February.
The breakout of this resistance area is aligned with the short-term impulse wave 3 of the intermediate impulse wave (3) from April.
S&P 500 index can be expected to rise to the next resistance level 5930.00, former support from January and February.
S&P 500 – an ascending channel on Daily Daily Chart (D1) :
I'm observing an ascending channel, with a potential manipulation near its lower boundary.
If that happens, we may see the formation of a bullish pivot point.
Hourly Chart (H1) :
I've marked the boundaries of the daily channel on H1.
There’s an unfilled gap below, and price might revisit that area.
I’m watching the 5690.7 level closely — it could act as a key zone for potential long setups.
📈 If 5690.7 holds , possible long targets include:
🎯 A break above the local high at 5848
🎯 The upper boundary of the channel, which closely aligns with the anticipated bullish pivot point target
📉 If price fails to hold above 5690.7 and breaks lower,
I’ll start considering short scenarios and will update this idea accordingly.
Continuation of bullish trendSeems that the trade deal between China and USA is behaving well with the general market, in my opinion the market will continue up for a while, however we need to be aware that at some point will need to breath and at least pull back to one of the EMAs, plus since it is now touching the top of the BB it will most likely pull-back at some point in the future, that doesn't mean it will reverse, but instead, give us another opportunity to enter the markets again, in line with the general market and at a good position to capitalize from the market movement.
S&P500 Index Intraday Trend Analysis for May 12, 2025The S&P 500 Index is displaying bullish indications for the day. Key support levels are observed at 5789 and 5755, while resistance is expected around 5860 and 5930.
Please note, this is solely my personal view. Traders are advised to conduct their own technical analysis and ensure proper risk management before making any trading decisions.
SPX – Triple Breakout: Inverse H&S + EMA 200 + Ichimoku CloudSPX has confirmed a powerful bullish breakout with three confluences:
1. Inverse Head & Shoulders breakout
2. 200 EMA breakout
3. Ichimoku Cloud breakout
This alignment of structure, trend, and momentum indicators suggests a potential continuation move toward 6150 in the coming weeks.
Trade View:
Entry: On breakout retest or continuation
Target: 6150
Stop Loss: Below neckline or EMA200 depending on risk tolerance
Bias: Strongly bullish
Turbulence at Sea: A New Phase in International TradeBy Ion Jauregui – ActivTrades Analyst
The growing trade tension between China and the United States has once again shaken the foundations of global commerce. In April, container traffic between the two powers fell by 30% to 40%, according to data from Maersk (CPH:MAERSKb), one of the world’s largest logistics operators. This decline comes amid a new wave of tariffs imposed by the Trump administration, which China could counter with similar measures. Although the conflict has reignited fears of a global trade slowdown, some shipping companies have maintained their annual forecasts thanks to one unexpected factor: the chaos in the Red Sea.
Global Trade Under Question
Maersk, despite the collapse in transpacific routes, has not revised down its profit outlook for 2025. The reason: the logistical disruption in the Red Sea, caused by geopolitical tensions, has driven up maritime freight rates, partially offsetting the drop in volume.
Still, optimism is cautious. The company now expects global trade growth to range between -1% and +4%, a margin that reflects the current high level of uncertainty. Asia-Europe routes are also being affected, and many companies are already seeking alternative logistics — more expensive but safer.
Impact on Other Global Companies
The blow is not exclusive to Maersk. FedEx, DHL, and COSCO Shipping have also reported disruptions in their international operations. Manufacturers such as Apple, Tesla, and Boeing are facing delays and rising costs in their supply chains, particularly in key components coming from Asia.
Industrial giants like Caterpillar and Honeywell, heavily reliant on exports, have seen their margins shrink and growth forecasts revised downward. The retail sector — with giants such as Nike and Walmart — is also feeling the pressure: rising logistics costs, lower momentum in international sales, and difficulties in inventory management.
Market Reaction: S&P 500 and Nasdaq
The effects have quickly rippled through financial markets. The S&P 500, which includes major U.S. companies, has come under pressure from geopolitical and trade uncertainty. The industrial and consumer discretionary sectors are leading the declines, while interest in more defensive sectors is growing.
The Nasdaq 100, dominated by tech companies with global supply chains, is also showing signs of fatigue. Apple and Nvidia have corrected in recent sessions, driven by concerns over potential retaliation from Beijing and delays in critical components. Semiconductor companies like Qualcomm and AMD could also suffer if China restricts access to critical raw materials or imposes new trade barriers.
Technical Analysis: S&P 500
The current chart formation reflects the drop that followed the imposition of tariffs, followed by a partial recovery to the 5,670-point area — slightly above the current point of control. The index is currently at the upper end of a range in which it has fluctuated several times. The RSI is slightly overbought, and the next upward target could be a return to all-time highs if it breaks the 5,900-point barrier. Moving averages appear to be converging toward a possible bullish directional shift.
Outlook
As 2025 progresses, investors are facing an extremely uncertain environment. The possibility of an escalation in the trade war, combined with ongoing logistical disruptions, could cap global growth and squeeze corporate earnings. All of this comes at a time when GDP growth in the U.S. and China was already showing signs of slowing: the former affected by persistent inflation, and the latter by weak domestic demand and a 21% drop in exports to the U.S.
In short, international trade stands at a crossroads. If the situation does not improve in the coming months, we may witness a major restructuring of global supply chains and a shift of capital toward safer assets.
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All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk.
Up-a-Bar, Down-a-Bar? Sorted.Gap Higher Into 5700 Heat
Ever make a tiny tweak to your bias, ignore the noise, and then watch the market validate every inch of it?
That’s the vibe this morning.
Yesterday’s post-FOMC tag of the lower Bollinger Band confirmed the mechanical turn, and if you’ve been following along, that means our bullish bias got an official upgrade. Futures are already up 60 points overnight, price is lifting into the 5700 zone, and yes… that broken wing butterfly we placed in the slop is now basking in the spotlight.
Didn’t catch the full breakdown of that clean +98.1% ROC win? You should. Because boring trades print – and this one did just that.
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SPX Market View
Let’s talk about the move we didn’t miss.
We spotted the sideways chop. The indecision. The textbook “up-a-bar, down-a-bar” noise. But instead of guessing direction into FOMC chaos, we made a minor but vital adjustment:
Bullish above 5600. Stay mechanical. Stay patient.
That call aged well.
FOMC came and went with all the urgency of a soggy biscuit. The lower Bollinger Band tag arrived right on cue, and with overnight futures up strong, we’re sitting in validation territory.
Now today? 5700 becomes the zone of truth.
It’s the GEX cluster.
It’s the high of the week. (so far)
It’s where a gap-and-go or gap-and-fade could unfold.
If price breaks clean, we could see new highs forming into the weekend. If not, expect a choppy pullback from the open before things stabilise.
Either way…
Already in swings. Already got B&B on. No need to chase.
Let the market come to us.
This is why structure wins.
Expert Insights:
Flipping bias mid-chop – let price confirm. Don’t front-run.
Forcing entries post-gap – wait for structure, not speed.
Ignoring prior levels – 5700 is loaded. Watch for traps.
Missing the post-review edge – yesterday’s trade gives today’s confidence.
Chasing noise into FOMC hangovers – let the dust settle before committing.
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Rumour Has It…
Apparently, the Fed’s post-FOMC statement was originally just a shrug emoji and the word “meh” repeated 17 times. When asked to elaborate, the AI bot in charge blinked twice and played a jazz loop. Traders remain unsure if it was dovish or just tired.
This is entirely made-up satire. Probably!
Breaking scoops courtesy of the Financial Nuts Newswire-because who needs sanity?
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Fun Fact
In 1983, the S&P 500 posted its largest one-day post-Fed reversal at the time, rallying over 3% after a morning selloff – all while inflation was double digits and headlines screamed chaos.
The takeaway? News means nothing if your setup is clean and your risk is defined. The same edge applies today.
US500 - Which way will the stock market go?!The index is trading above the EMA200 and EMA50 on the four-hour timeframe and is trading in its ascending channel. If the index moves down towards the specified demand zone, one can look for further S&P buy positions with a good risk-reward ratio.
In its meeting last night, the U.S. Federal Reserve decided to keep the federal funds rate steady within the 4.25% to 4.50% range. This decision comes amid growing concerns about simultaneous rises in inflation and unemployment, particularly driven by the tariff policies of the Trump administration.
This marks the third consecutive time this year that the Fed has held rates unchanged, reflecting mounting economic uncertainty and fears of stagflation.Fed Chair Jerome Powell warned that the combination of high inflation, slow economic growth, and rising unemployment could lead the economy into stagflation. He noted that newly imposed tariffs could delay the disinflation process for up to a year or more.
The Trump administration has introduced steep tariffs, including a 145% levy on imports from China. These measures have contributed to rising prices and slower economic growth, placing additional strain on monetary policymakers.
Following the Fed’s announcement, stock markets exhibited volatility. The S&P 500 initially fell but ended the day higher. Bond yields declined, while the U.S. dollar strengthened.
Powell emphasized that future monetary policy decisions will be heavily data-dependent, and the central bank stands ready to act swiftly if necessary. He acknowledged that the economic outlook remains uncertain, requiring cautious and adaptive policy management.
Faced with escalating uncertainty and inflationary pressures stemming from new trade measures, the Fed has adopted a cautious stance. Given the current mixed economic indicators, the central bank is expected to maintain its interest rate policy until the economic picture becomes clearer.
Economists at Goldman Sachs have issued a warning that U.S. inflation is on the rise and may reach 3.8% by the end of 2025. According to their analysis, the weakening of the U.S. dollar and the implementation of tariff policies are the main drivers of increased inflationary pressure. Additionally, changes in import demand could elevate production costs and further intensify price increases.
The Wall Street Journal reported that new tariffs may raise the prices of smartphones and laptops by up to 30%. Contrary to popular belief, this inflationary impact may not be temporary and could result in sustained upward pressure on prices.
Meanwhile, ahead of the FOMC meeting, Alphabet (Google’s parent company) saw its stock plunge over 8%, falling to $149.50. Eddy Cue, a senior executive at Apple, disclosed that for the first time in April, user activity on browsers and search engines had declined. In response, Apple is exploring the integration of AI-powered search into its browsers—a move that could pose a serious threat to Google’s advertising revenue.
Simultaneously, President Trump announced he would not enforce the AI content restriction law, initially introduced during the Biden administration and scheduled to take effect on May 15. This decision comes just before his trip to the Middle East, where countries like Saudi Arabia and the UAE have voiced frustration over chip access restrictions.
Trump administration officials are currently drafting new legislation aimed at tightening control over the export of advanced chips. This initiative may form part of a broader agreement, as the UAE has pledged to invest up to $1.4 trillion in U.S. technology and infrastructure over the next decade.
Mongoose Capital: Macro Dashboard – US500 Fed & Recession WatchOverview:
The Mongoose Capital Macro Dashboard offers a high-level view of key macroeconomic metrics driving market sentiment. Designed for the US500 (S&P 500 index), this tool tracks the interplay between Federal Reserve policy expectations, recession risk signals, and overall macro conditions in a clean, multi-panel layout.
Key Features:
FFR Cut Probability: Real-time assessment of Federal Reserve rate cut odds.
Macro Conditions Score: Composite indicator showing the alignment of liquidity, inflation, labor market health, credit spreads, yield curve status, and global growth.
Recession Risk Gauge: Aggregated recession probability, with dynamic background shading to reflect rising or falling risk.
Yield Curve & Credit Spreads: Plots to monitor inversion trends and credit market health.
Macro Event Markers: Highlights key events like CPI and FOMC meetings.
How to Use:
Optimized for the US500 on the 1D or 1W timeframe.
Use the Macro Conditions Score and FFR Cut Probability as a context filter for your trade setups.
Watch for Recession Score shifts (3/5 or higher) to flag caution zones.
Best Practice:
This dashboard is built for situational awareness, not as a direct buy/sell signal. Combine with technical analysis for trade execution.
Example Chart Setup:
US500 1D / 1W chart
Apply as an overlay to maintain macro visibility alongside price action.
Built by TheRealMongoose / Mongoose Capital.
5600: Bullish Border or Bear Trap?Theta’s Working. Setup’s Lurking.
This market’s behaving like it needs a reboot. We’ve got the classic tag‑n‑turn setup doing a dodgy impression of itself-upper band got touched, but instead of a clean pivot, we’ve now got a bearish pulse bar flashing and a near‑miss on the lower Bollinger Band. It’s like waiting for a bus, getting two at once, and realising they’re both headed to “Confusion Junction.”
So here’s the deal: 5600 is now the cliff edge. Stay above, and we’ve got some bullish life. Drop below, and we’re in breakdown city. If you’re testing the waters today, keep it light. FOMC is on deck, and that alone can whiplash any intraday idea straight off your charts.
Meanwhile, theta quietly does its work in the background, even if price action’s stuck in a tight horizontal fog. And for the more cautious of you yes, we’re experimenting with broken wing butterflies as a way to lean into the system without going full throttle. More on that in today’s Fast Forward call.
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SPX Market View
Let’s break down the weirdness.
We’re in a mechanical tag‑n‑turn, but it’s misbehaving.
Usually, the upper Bollinger Band tap sets off a swift reversal. But this time? We got the tag… and then nothing. Just sideways drift. Until yesterday, that is, when bear pulse bars flickered in, suggesting sellers might finally be stretching their legs.
Now? We’re hovering just shy of a lower Bollinger Band tag, with the bands pinching tighter than a miser’s wallet. This setup is usually the calm before either a surge—or a slip.
Enter the line: 5600.
• Above 5600: bull bias stays alive.
• Below 5600: breakdown setup gets the greenlight.
The GEX crowd seems to be repositioning slightly, but the main range remains intact. Volatility premiums are compressing again, suggesting the real move hasn’t triggered yet.
If you’re risk‑curious but cautious, broken wing butterflys are worth exploring. By placing your risk off-centre, you create room to collect theta while limiting max damage if direction gets wonky. I’ve been testing it in real-time, and I’ll share specifics on today’s mentorship call.
And then, of course, we’ve got the FOMC main session coming up.
If that makes your stomach churn—don’t trade it. Watch it. Tomorrow’s another day. No one gets a prize for being caught on the wrong side of a news candle.
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Expert Insights:
Assuming a tag means turn – the tag-n-turn isn’t magic. Wait for confirmation.
Forcing trades around news events – FOMC days don’t need your capital.
Underestimating sideways risk – no trend doesn’t mean no danger.
Skipping risk-defined plays – BWB’s give breathing room when setups are unclear.
Failing to adjust bias – bullish and bearish both live here—bias must shift with price.
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Rumour Has It…
A mysterious algorithm known only as “TurnTagger X” is reportedly running its own contrarian SPX strategy. It waits for tag-n-turn setups-then does the exact opposite, cackling through your stops. One trader claims it’s powered by caffeine, salt, and old Janet Yellen quotes. Could be hedge fund AI… or just your broker’s cat walking on the keyboard.
This is entirely made-up satire. Probably!
Breaking scoops courtesy of the Financial Nuts Newswire-because who needs sanity?
AI-Powered ETFs Go on Strike
A rogue batch of AI ETFs issued a joint statement this morning refusing to rebalance “until humans stop panic-buying tops.” BlackRock is reportedly negotiating with a mediator chatbot named GaryBot-9000.
Retail Traders Launch ‘NapMap’ App
After months of whipsaw hell, Reddit traders launched NapMap – a tool that identifies the safest hours to sleep through “algorithmic tantrums.” It’s already outperforming the S&P.
CBOE Announces ‘Calm VIX’
The Chicago Board of Exchange revealed its newest product: a “Calm VIX” that tracks how unbothered markets pretend to be. Readings are currently at ‘Zen Master’ despite 4 black swans circling the drain.
This is entirely made-up satire. Probably!
Breaking scoops courtesy of the Financial Nuts Newswire-because who needs sanity?
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Fun Fact
The phrase “broken wing butterfly” comes from aviation-not options. Pilots once used the term to describe asymmetric recovery manoeuvres. Traders later borrowed it to describe strategies with off-centre risk profiles-ideal when you expect range but want room for error.
Bonus trivia: the strategy can be structured for credit or debit, making it one of the few “choose-your-own-adventure” plays in options.
Cartoon metaphor for using broken wing butterflys in volatile markets.
SPX at a Tipping Point Rising Wedge Meets 200 EMAThe SPX is currently trading within a rising wedge a bearish pattern that typically signals exhaustion of upward momentum. Price has now stalled right at the 200 EMA, a key dynamic resistance level, and today's close came just beneath it.
If this rising wedge breaks to the downside especially with a confirmed rejection from the 200 EMA we could see accelerated selling. The next key support level to watch is $5,438.43. A breakdown from here would likely test that zone quickly.
This setup follows our earlier call from March 27, where we highlighted the $4,790 area as a bottom nearly nailed to the point. From that low, SPX rallied, but now the structure is showing signs of strain.
We’re at a decision point: hold the 200 EMA and potentially break higher or confirm the wedge breakdown and begin a new leg down.
US500 + Macro Radar Update | Mongoose Capital Macro DeskThe S&P 500 remains in a structurally elevated range around 5,612 following a technical bounce from recent lows. However, the broader macro environment continues to apply pressure beneath the surface.
The Macro Conditions Score prints 5/7 (71.4%), signaling a moderately restrictive backdrop. Meanwhile, the market-implied probability of a Fed Funds Rate cut sits at 52.25%, reflecting policy indecision rather than a definitive pivot.
Recession risk is cooling: the Recession Score has declined from 4/5 to 2/5 over recent months, indicating subsiding risk but not a full reset to expansionary conditions.
Yield curve signals remain inverted, though stabilization is emerging in key spreads (3M10Y, 2s10s). Fed policy sentiment remains neutral-to-hawkish, suggesting no immediate move toward accommodative policy.
📝 Institutional View:
This remains a macro-neutral market, not decisively risk-on. While equities have rebounded, the fundamental backdrop points toward a constrained upside without further improvement in liquidity or policy stance.
The rally is technical and positioning-driven, not yet macro-validated. The reduction in recession odds is positive but still within a tight policy leash.
“The market wants to believe. The data needs to confirm.”
Key Takeaways:
Tactical opportunities remain in place, but strategic positioning should remain selective.
Recession probability is declining but not eliminated.
The macro ceiling remains intact absent further loosening in financial conditions.
Published by Mongoose Capital | Macro Research Desk
(Chart: Mongoose Recession Radar Pro v1.6)