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BigCharts
Nov 22, 2016 5:27 PM

SP500 SHORT: S&P500 possible short Short

S&P 500 index of US listed sharesFXCM

Description

With the S&P500 making new highs on no basis and serious resistance appearing at new levels, along with STOCHRSI signaling extremely overbought and MACD begining to reverse, I would take a small short position at $2205 with a T.P. $2175

Trade active

Still holding, stop at $2217

Trade active

Target re-adjusted for $2185 (wanna free funds to allocate to commodities)

Trade closed: target reached

Comment

I still think there is much more potential downside, but commodities are a better allocation of resources right now with a higher r/r.
Comments
Reekardo
nobody wants to long this market.. shorts are getting killed.... any explanation other than SKEW?
BigCharts
@Reekardo, This is definitely a case of skewness, but price should always go back to the median. That's what I would bet on...
Reekardo
@AlexTrik, sorry, i meant to say option skew... heavy put owners from election anticipation... spx options were heavy to put side... now everyone owning under 2200 is a loser - hard to imagine spx over 2200 back in february.
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