And here is the next series of current global market update at the biggest and one of the largest index in the world right now. Let's get into it!
On current condition, I have several crucial things to be highlighted on this chart. This is the logarithmic chart from monthly chart on the SPX. We can see that there is a support trend line that has held the price since 1974 and of course this is the huge support trend line that is very related to current movement of the price. The last 2 months has been a really hard for the SPX because of the huge drop and an extreme bearish pressure for this Index which is not good for the global market.
The 2nd most crucial thing is the blue line (55 EMA) which is acting as a dynamic support for the price. Currently, the price is still moving just slightly above this line. And with current early sign of reversal based on the oscillator indicators, we can see there is a lower high on RSI and the MACD but some sign of higher high on the price action which indicate a bearish divergence pattern.
I see a big possibility of the price of going down in this 2020 or 2021 maximum because of current sell off volume that is not cool at all. Even though I'm pretty sure of this downside action, we still need some confirmation of this downside movement too. The confirmation is more like if the price breaks down of the blue dynamic line which is the 55 EMA. And if this breaks, we will see the further push to the white region. This white region is the area of previous broken resistance that is now become support for testing the phase 2 of break out strategy.
On current condition, I have several crucial things to be highlighted on this chart. This is the logarithmic chart from monthly chart on the SPX. We can see that there is a support trend line that has held the price since 1974 and of course this is the huge support trend line that is very related to current movement of the price. The last 2 months has been a really hard for the SPX because of the huge drop and an extreme bearish pressure for this Index which is not good for the global market.
The 2nd most crucial thing is the blue line (55 EMA) which is acting as a dynamic support for the price. Currently, the price is still moving just slightly above this line. And with current early sign of reversal based on the oscillator indicators, we can see there is a lower high on RSI and the MACD but some sign of higher high on the price action which indicate a bearish divergence pattern.
I see a big possibility of the price of going down in this 2020 or 2021 maximum because of current sell off volume that is not cool at all. Even though I'm pretty sure of this downside action, we still need some confirmation of this downside movement too. The confirmation is more like if the price breaks down of the blue dynamic line which is the 55 EMA. And if this breaks, we will see the further push to the white region. This white region is the area of previous broken resistance that is now become support for testing the phase 2 of break out strategy.
