$SPX: Possible Scenario for Coming Days

FX:SPX500   S&P 500 Index
55 0 1
We finally got the bounce I had been expecting following a 12345 impulse move down although I had originally thought we were seeing and ABCD

Additionally, I think firming prices today was largely technical stemming from the impulse, oversold conditions, wanting to hold the 50DMA and possible sentiment that the poor jobs report will make it difficult for the Fed to entertain further rate hikes in the near term.

Using bit and pieces of available price history, I constructed what we might look forward to in the coming days: a bearish bat . The ratios are OK but the B to D is a stretch. We might see a choppy move higher until we hit the 75 to 82 area where its likely we reverse course and resume the trend down.

Absent a recession, I don't have a good feel for where we are heading but a test of the 200 DMA @ 2013 seems reasonable. Unless there is an economic shock, I expect the move down to be fitful with typical retracements

Historically, its recessions that have really tanked markets.

In any event I think the fact that global growth is slowing, that we see weakness in the US economy and that worries over earnings is increasing, will make it very challenging to be bullish and make a case to increase exposure to US equities.

But bulls are a stubborn lot.
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out