SP500 Update - Still consolidating. Wait for the break!
This is really annoying for any trend follower trader. SP500 Index has not been doing anything for more than 2 weeks now. It is just consolidating.
Daily: Total flat Tenkan and Kijun together. This means the 9 days and 26 days averages are at same level. We have this small inner trend + Tenkan and Kijun vs the all time high top (horizontal line). This small triangle is tight enough now, a break should happen this week.
DMI bearish, but ADX can not get a momentum. Slow Stoch and MACD don't reall tell us much.
The Key levels are obvious: Upper - 1987, Lower - 1967
4 Hrs: Total trendless, with a lot of false signals. Right now Price is in the Kumo, still below Kijun Sen. Chikou Span is below price candles, but as you see it quickly changes. DMI neutral, as ADX is dropping - consolidation. Slow Stoch is useless, unless you trade the range as a daytrader. (I don't daytrade)
The support level is obvious here as well: 1966-1967.
Strategy: If you look for a bearish signal, now it is getting very simple. Sell the 1966 break with 1983-1985 stop. If you still hold longs you can place your stop sell order below this support too.
If you sold on top hunting, or on 1 Hr time frame sell signal before and you are still short, you can still keep your stop buy order at 1986.
Daily: Total flat Tenkan and Kijun together. This means the 9 days and 26 days averages are at same level. We have this small inner trend + Tenkan and Kijun vs the all time high top (horizontal line). This small triangle is tight enough now, a break should happen this week.
DMI bearish, but ADX can not get a momentum. Slow Stoch and MACD don't reall tell us much.
The Key levels are obvious: Upper - 1987, Lower - 1967
4 Hrs: Total trendless, with a lot of false signals. Right now Price is in the Kumo, still below Kijun Sen. Chikou Span is below price candles, but as you see it quickly changes. DMI neutral, as ADX is dropping - consolidation. Slow Stoch is useless, unless you trade the range as a daytrader. (I don't daytrade)
The support level is obvious here as well: 1966-1967.
Strategy: If you look for a bearish signal, now it is getting very simple. Sell the 1966 break with 1983-1985 stop. If you still hold longs you can place your stop sell order below this support too.
If you sold on top hunting, or on 1 Hr time frame sell signal before and you are still short, you can still keep your stop buy order at 1986.