Hey Guys, things seem to be looking up a lot for the SPY, here seems to be one of the many scenarios here that could play out.
The SPY seemed to have a fantastic run up here with a slight retractment (B-C) and a possible measured move up to D. Only problem is, that if D is reached, the SPY will have to be completely gassed, meaning it's best to wait for a retractment.
We seem to have a band of VWAP here that could act as possible support coming up soon, the area circled is an area of marked interest. The 50% retractment seems to match up fantastically with the VWAPS, as well as the former resistance line from the early January Drop. If the SPY retracts to there, we could see a fantastic buying opportunity with an even better stop loss position, and this would be one of my preferred scenarios.
With that being said though, the most important thing to remember is that preference is just that, a preference! It's not a guarantee and no matter how hard I want or believe, it in no way means this outcome will happen, just one of many high probability outcomes. Always antacipate before you particpate! The market can move in any direction it pleases, just try to listen to it!
In other news, let's take a lot at the shorter 30 Minute Chart:
As you can see, the really thick purple line is the 5-Day MA, and it's sloping up beautifully, ichimoku is looking great.
Longer time-frame:
200 is still rising, we're finally above the 50 Day MA, and 20 DMA is about to finally cross 50 DMA, so things are looking good (for now).
Probably the most important thing I'm about to say this entire post: Do not, and I mean Do not in any way, shape, or form, CHASE!!!
We're getting so overbought right now and the SPY, even though it's not showing it right this second, is getting weak! Chasing prices makes your stop losses ridiculously large, so just wait for a retractment here and let's see if we can get in at a better price!
That's all guys, any questions, leave them down in the comments below. I know I haven't posted in a while, just been busy. Let me know what you think.
The SPY seemed to have a fantastic run up here with a slight retractment (B-C) and a possible measured move up to D. Only problem is, that if D is reached, the SPY will have to be completely gassed, meaning it's best to wait for a retractment.
We seem to have a band of VWAP here that could act as possible support coming up soon, the area circled is an area of marked interest. The 50% retractment seems to match up fantastically with the VWAPS, as well as the former resistance line from the early January Drop. If the SPY retracts to there, we could see a fantastic buying opportunity with an even better stop loss position, and this would be one of my preferred scenarios.
With that being said though, the most important thing to remember is that preference is just that, a preference! It's not a guarantee and no matter how hard I want or believe, it in no way means this outcome will happen, just one of many high probability outcomes. Always antacipate before you particpate! The market can move in any direction it pleases, just try to listen to it!
In other news, let's take a lot at the shorter 30 Minute Chart:
As you can see, the really thick purple line is the 5-Day MA, and it's sloping up beautifully, ichimoku is looking great.
Longer time-frame:
200 is still rising, we're finally above the 50 Day MA, and 20 DMA is about to finally cross 50 DMA, so things are looking good (for now).
Probably the most important thing I'm about to say this entire post: Do not, and I mean Do not in any way, shape, or form, CHASE!!!
We're getting so overbought right now and the SPY, even though it's not showing it right this second, is getting weak! Chasing prices makes your stop losses ridiculously large, so just wait for a retractment here and let's see if we can get in at a better price!
That's all guys, any questions, leave them down in the comments below. I know I haven't posted in a while, just been busy. Let me know what you think.
Comment:
So far I'm right, as usual, but we'll see. I have no idea if D is actual support, as of right now, it's just potential support. Make sure to re-read this idea so you can be prepared!
Comment:
Alright guys, here are some updated VWAP's with the Dates included so you can use them yourself:
That green VWAP is the most important for entry, while the blue VWAP is most important for potential support
That green VWAP is the most important for entry, while the blue VWAP is most important for potential support