So many charts on candlestick analysis, Oscillators, and channels.
I just wanted to show the RSI and how it has help me predict 420 high (Look at previous post) and why I think the spy will reach 430.
As you can see on the RSI the spy broke out of symmetrical triangle at the start of April with the Nasdaqs amazing run.. After April the Nasdaq suffered a 700point drop and although the spy pulled back you can see it found support on prior resistance. Why didn't the spy tank and close the gap you ask? The DOW 30. While the Nasdaq was pulling back the Dow Jones was breaking out of a bullish pennant and that led to the sideways consolidation you notice where the spy hover between 419 and 416.
For the first time in since April both indexes were up over 150 points Friday and that help push the spy through resistance (Falling wedge ) and into new highs.
Although the Nasdaq looks bullish in this upcoming week, the Spy and Dow Jones are both outside their Bollinger bands and the Dow has been up for 5 straight days. I expect some pull back by Tuesday at least.
For bears wanting to see a gap close of 400 , you'll first need that support to break on that RSI first.
I know this is a post about The SPY or S&P but I've included the other exchanges into my analysis as I think you should because although you can have a "WEAK" spy you'll never have a "BEARISH" spy as long as the Dow or Nasdaq are pulling off 1% gains daily.
Good luck . Lose your opinion, not your money!
I just wanted to show the RSI and how it has help me predict 420 high (Look at previous post) and why I think the spy will reach 430.
As you can see on the RSI the spy broke out of symmetrical triangle at the start of April with the Nasdaqs amazing run.. After April the Nasdaq suffered a 700point drop and although the spy pulled back you can see it found support on prior resistance. Why didn't the spy tank and close the gap you ask? The DOW 30. While the Nasdaq was pulling back the Dow Jones was breaking out of a bullish pennant and that led to the sideways consolidation you notice where the spy hover between 419 and 416.
For the first time in since April both indexes were up over 150 points Friday and that help push the spy through resistance (Falling wedge ) and into new highs.
Although the Nasdaq looks bullish in this upcoming week, the Spy and Dow Jones are both outside their Bollinger bands and the Dow has been up for 5 straight days. I expect some pull back by Tuesday at least.
For bears wanting to see a gap close of 400 , you'll first need that support to break on that RSI first.
I know this is a post about The SPY or S&P but I've included the other exchanges into my analysis as I think you should because although you can have a "WEAK" spy you'll never have a "BEARISH" spy as long as the Dow or Nasdaq are pulling off 1% gains daily.
Good luck . Lose your opinion, not your money!
Related Ideas
Nasdaq
ContraryTrader
about IXIC