S&P 500 Due for a Bounce on Monthly Close

Hi there. VZO being oversold on indices is a great sign of reversal.

Look left. Now look right. It should do the same thing.

Comment:

I'm expecting the rally to continue until the end of the week, with price stopping below the previous daily swing high and chopping to the middle of November.

Current politics will make it difficult to know if the top is in. One reason can be the "proposal for looser capital and liquidity requirements for large U.S. lenders". Lower margin requirements for the largest liquidity providers should lead to a cycle of higher volatility in the overall market, then a final spike up as market participants de-risk and liquidity dries up.

Comment:

Low timeframes paint a raunchy +/-6% chop. Judging by past price action during abnormal readings of national unemployment rate and 10/2 year bond yields, I believe price will be gunning for a high near previous ATH, smoking shorts and trapping anyone that would try to go long.