Kumowizard
Short

Consolidation, wedge, negative divergence

FX:SPX500   S&P 500 index of US listed shares
186 0 12
Daily:
- Ichimoku setup is bullish , but finally Kijun Sen moved up to spot price. This marks the short term lower support at 2168
- Heikin-Ashi shows loss of momentum , some early fear and indecision. haDelta is stuck at zero, but haOscillator rather points down!
- EWO has built quite a bearish divergence, which in light of a possible bearish wedge price formation above is very important!

4H:
- Swinger club around 100wma and the flat forward Senkou lines (future Kumo), which by the way has a bearish bias! This type of price action shows increasing fear and indecision! Yesterday action was scary for Bulls, but again, the miracle hand helped, and mkt got pumped up above Kijun. Did is change the picture to more bullish? Nope! Tenkan is still below Kijun, and all averages are still flat! Chikou Span is at oast candles -> no bullish strength.
- Heikin-Ashi whichis a noise filter, can't filter the short term noise either!
- EWO is at zero -> no momentum either way.
- At least we have clear supp/res levels: 2180 / 2176 / 2168 -> as you see daily Kijun, 2168 is the big level now.

As mkt volatility is still very low, the strategy can be the following:
1. Small (0,5 unit) short here with wider stop.
2. Size up below firm break of 2168, and tighten stop to whole position.
3. Buy some ESW3 2125 / 2070 put spread (costs appr. net 10,5 points)
Ideas Scripts Chart
United States
United Kingdom
India
España
Italia
Brasil
Россия
Türkiye
日本
한국
Home Stock Screener 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 Billing Sign Out