Been charting the chop now and have started to find that it is helpful to chart both bullish and bearish scenarios since a healthy level of doubt is good for the longevity of any trading account
At the moment, SPY seems to be in a corrective move after the rally from ~370 to ~398. The speed of the reversal today plus the strength of the selling felt characteristic of a 3rd wave move - confirmation or rejection of this will likely come at open tomorrow (gap down would be confirmation). That may be tough to come by since price is sitting on support and the 'Buy The Dip' mentality is still strong in the market
I would certainly caution bullishness here considering that most of the "good news" is currently known/out but the reality of the lingering bad situations will create waves that may shake investors confidence (Covid Lockdowns/Third wave, Semiconductor Supply Chain issues, Magin Debt, Inflation)
Definitely looking at the downside as more probably right now so marking this as a short thought I do not currently have a position - waiting for tomorrow for the confirmation or resistance test before entering
At the moment, SPY seems to be in a corrective move after the rally from ~370 to ~398. The speed of the reversal today plus the strength of the selling felt characteristic of a 3rd wave move - confirmation or rejection of this will likely come at open tomorrow (gap down would be confirmation). That may be tough to come by since price is sitting on support and the 'Buy The Dip' mentality is still strong in the market
I would certainly caution bullishness here considering that most of the "good news" is currently known/out but the reality of the lingering bad situations will create waves that may shake investors confidence (Covid Lockdowns/Third wave, Semiconductor Supply Chain issues, Magin Debt, Inflation)
Definitely looking at the downside as more probably right now so marking this as a short thought I do not currently have a position - waiting for tomorrow for the confirmation or resistance test before entering
Order cancelled:
So this was way off..