The S&P 500 is still in a pullback phase, seeing a decline of 4.5% so far since September.
The move is almost equal in size to the decline we witnessed in September 2020.
What we need to do when price pulls back is identify levels that price may gravitate
towards so that we are prepared in advance to manage our positions and give us the
advantage of getting ready for future opportunities.
Now that price has moved below the 20 & 50 simple moving averages, we need to look
for previous levels of support.
The next level of support is at $4233 from the July 19th 2021 low. If this level fails to
hold then we have the 200 simple moving average which is currently at $4144.
We can not predict how low the pullback will go but as long as we continue to see a
pattern of higher highs and higher lows, the bull trend should resume soon.
We are still bullish and will have to remain patient while the market corrects itself.
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
The move is almost equal in size to the decline we witnessed in September 2020.
What we need to do when price pulls back is identify levels that price may gravitate
towards so that we are prepared in advance to manage our positions and give us the
advantage of getting ready for future opportunities.
Now that price has moved below the 20 & 50 simple moving averages, we need to look
for previous levels of support.
The next level of support is at $4233 from the July 19th 2021 low. If this level fails to
hold then we have the 200 simple moving average which is currently at $4144.
We can not predict how low the pullback will go but as long as we continue to see a
pattern of higher highs and higher lows, the bull trend should resume soon.
We are still bullish and will have to remain patient while the market corrects itself.
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
