- S&P 500 Managed to close below 50 Day SMA. But the closing does not looks convincing and Bears need to do more to pull prices down further.
- Price is at 38.2% Fib level which is at 1652. This level has to break for extending the down more.
- Bears must take care as Daily stochastic is reaching oversold zone. Bearish Below 1652. Strength above 1664
You are missing the SHORT FIB setup from the last swing highs to lows from a 15 min chart. I trade the SPX for a living (selling SHORT strangles, SPX) and you must follow fib rules to successfully determine if the shorts are broken. Simply calling out the 38.2% is not enough. Take the last swings and you will see that 1655 was the last -23.6% target, and price descended past that level and look for a -61.8% over-shoot support level. Also, as I said, draw up short fibs from the last swing high to low and let that 61.8% resistance/break level prove itself before you go long again. CYCLE is short until shorts break, and then longs must hold.
ReplyDeleteThanks for your view.
ReplyDeleteI have shown Fib levels for the swing high and low in daily chart.