S&P 500 longest losing streak in 5 years creates room to buy

INDEX:SPX   S&P 500 Index
215 3 6
The "S&P 500" and "Nasdaq Composite" Index fell for a 7th straight day on Wednesday in the first week of November, which is the longest losing streak since the year 2011.

The Stochastic oscillator, the Bollinger Band Percent and the Commodity Channel Index all three show a very strong downtrend, which can be read as a "oversold" signal. The FED meeting is behind us and they didn't hike in November, which is positive for stocks (at least until December). Facebook’s third-quarter earnings beat estimates (the data was “really good” said Brian Wieser, an analyst with Pivotal Research), therefore another downside risk factor is behind us. If recent history is any guide, there is now at least a chance for a dead cat bounce higher until the US election on November 8, 2016.

Long entry: 2090-2095
Stop loss: 2085
Target: 2125
Risk: 5-10 points
Reward: 30-35 points
The seven day losing streak got (over?)-extended to eight down days in a row today:

CNBC: "The S&P 500 has just suffered its longest losing streak since 2008"

Reuters: "S&P 500 losing streak runs to 8 days as Facebook weighs"

Schaeffers Research: "S&P 500 Matches Great Recession Losing Streak"

Wall Street Journal: "S&P 500 Extends Losing Streak"

Bloomberg: "Stocks Almost Always Rise Before an Election. Not This Year"

Great calls, do you see it falling back down or breakin out?
ChartArt 1iafarmboy
@1iafarmboy, Thank you. A forecast is really difficult now, because we went from very oversold to highly overbought in just a few days. I see at least one sharp profit taking decline next.

The issue is that FANG tech stocks (especially Facebook, Amazon and Google) were falling in the last days, because Silicon Valley doesn't like Trump (due to his anti-immigration agenda). Usually tech leads the market and they are the largest sector in the S&P 500. So again, I see next days higher odds for a decline.
Ideas Scripts Chart
United States
United Kingdom
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out