Potential Short Scenario coming / ES (S&P500) by ThinkingAntsOk
Use this as a guide to develop your personal view.
Main items we can see on the Daily Chart:
a)The price is inside a Weekly ascending channel and currently is against it (major reversal zone)
b)If we pay attention, there is another channel (light blue), and the price is close to breaking it with a bearish movement
c)If that happens, we will wait for a test of the next support zone as a safety measure before opening any setup
d)If the price reaches the next support zone and we have a clear pullback towards the broken channel, we will set sell stop orders below the structure with the target of 2900
e)Also, we will be paying attention in case the price does not do what we are expecting on the short side, to look for long opportunities.
f)The short scenario is also supported by the Corona Virus outbreak, which provides convergence with the technical elements we see on the chart.
Main items we can see on the Daily Chart:
a)The price is inside a Weekly ascending channel and currently is against it (major reversal zone)
b)If we pay attention, there is another channel (light blue), and the price is close to breaking it with a bearish movement
c)If that happens, we will wait for a test of the next support zone as a safety measure before opening any setup
d)If the price reaches the next support zone and we have a clear pullback towards the broken channel, we will set sell stop orders below the structure with the target of 2900
e)Also, we will be paying attention in case the price does not do what we are expecting on the short side, to look for long opportunities.
f)The short scenario is also supported by the Corona Virus outbreak, which provides convergence with the technical elements we see on the chart.
