Trading Environment-Short Term: Current Environment-Neutral/Bearish
are up this morning, but off the highs as the /es forms a smaller 1-2-3 pattern within the larger 1-2-3 pattern. These minor higher highs are coming with sell signals and fits the messy market environment we are in right now. Traders buying the breakout are finding themselves waiting and bears are growing frustrated by the day. Woody mentioned that both sides will be wrong during this time period and I agree 100%. Right now, the technicals and patterns are suggesting it is time for the bulls to be on the wrong side. is due and once this comes and goes, we have another one pending. I like the downside from these levels, but the bears will not get any attention until they push the /es below 2813. If they succeed, a reaction trade down to 2808/2803 should follow. Below that support, we should see 2794/2788.
The SPX bears have to push the tape below 2807/2804 for a reaction trade down to 2797 and then 2789. There are divergences/sell signals on all of the time frames and I believe we should see some selling start any day-maybe today. 2764 would be the first target if we do get some selling, which is the bull/bear line. Below that, panic selling down to 2743 would be expected. I still like seeing the spx below the 2722, but Mr. market doesn't care what I like.
The range SPX range for today is 2815 high and 2807 low A break of 2815 the spx should try for 2820/2830. A push below 2807 we could see 2797/2787. G
SPX CASH 60 minute technicals
Resistance Levels: R1-2815 R2-2820 2830
Support Levels: S1-2807 S2-2797 S3 2783
Trending Pivots: Neutral
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