ANALYSIS
SPY initially signaled a buy the dip on my end but was quickly reversed as we seen the Green EMA line fail to cross the Blue LSMA(indicating more pressure). We then got a conventional sell signal indicated by the Green EMA line crossing below the Red RSI, but also closing like that which gives greater validity to the downside. If the Red RSI crosses below 20 we will continue to see downward pressure and the fact that the Blue LSMA is below 50 also indicates an expansion of the Bollinger bands(B Bands already seem decently expanded so we'll see what happens). My first target is the 438 VWAP support and if there is further bearishness then we may see a target of 434. Although I may be bearish on the daily time frame, I still think SPY is going to bounce in the longer term. And if we get that Green EMA to cross the Red RSI then we will once again be long.
Price Targets
- 1st 438
- 2nd 434
SPY initially signaled a buy the dip on my end but was quickly reversed as we seen the Green EMA line fail to cross the Blue LSMA(indicating more pressure). We then got a conventional sell signal indicated by the Green EMA line crossing below the Red RSI, but also closing like that which gives greater validity to the downside. If the Red RSI crosses below 20 we will continue to see downward pressure and the fact that the Blue LSMA is below 50 also indicates an expansion of the Bollinger bands(B Bands already seem decently expanded so we'll see what happens). My first target is the 438 VWAP support and if there is further bearishness then we may see a target of 434. Although I may be bearish on the daily time frame, I still think SPY is going to bounce in the longer term. And if we get that Green EMA to cross the Red RSI then we will once again be long.
Price Targets
- 1st 438
- 2nd 434
Comment:
Weekly Indicates a target of the Bollinger Band Basis(yellow dots) but Green EMA is currently above white energy which suggest bullishness longer term. Of course with time, these signals can change.