August 31 2020, todays analysis is on the 4Hr chart. I took a fib on the impulse bullish push of price to measure a potential retracement. I immediately noticed that the 50% retracement lines up perfectly with the last SPY close at 3505.8. i then took a fib from the the top of the impulse leg to the 50% retracement level at 3505.8 and got an upward 127.2% target of 3533.06, which lines up with a previous target set in the same region
For a downside target i took a fib on the same bullish impulse leg i marked off a possible retracement level of 3492.97 (78.2% retracement), assuming this retracement leg would now become the bearish impulse leg, i took a fib from the top the top of the bullish impulse leg to the 3492.97 level, and marked the 78.2% of that push at 3519.96.
finally i took a fib from 3492.97 to the 3519.96, to get a downside target of 3485.97-3483.30 (previous SPY gap).
I am looking for a 4hr close above 3505.80 (50% retracement), to go in for a buy. if i do not get that, i will enter a sell position at 3519.96 being very cautious of possible reversal level.
For a downside target i took a fib on the same bullish impulse leg i marked off a possible retracement level of 3492.97 (78.2% retracement), assuming this retracement leg would now become the bearish impulse leg, i took a fib from the top the top of the bullish impulse leg to the 3492.97 level, and marked the 78.2% of that push at 3519.96.
finally i took a fib from 3492.97 to the 3519.96, to get a downside target of 3485.97-3483.30 (previous SPY gap).
I am looking for a 4hr close above 3505.80 (50% retracement), to go in for a buy. if i do not get that, i will enter a sell position at 3519.96 being very cautious of possible reversal level.