Check this chart of the SPY, there is some resistance at current levels. I don't think is going to break out at first attempt, most likely to pull back to the bottom of the channel first. I have no positions here, I'm already loaded with shorts.
To me 3 things are obvious:
1. The latest BTC spike is abnormal. It occurred for no apparent reason and coincided with bitfinex maintenance.
2. The spike came at a time when bulls are losing steam and someone could argue that it looks like a BIG FLASHING NEON SIGN urging them to re-enter the race.
3. Nothing defies nature's laws, and what goes up will come...
If you can find shares to short, this is a high probability set up.
Half way point: First Target
Buy to cover zone: Second Target
Keep in mind fees to short this POS could be high, nonetheless the set up has great risk/reward.
Entry points: Intra-day double-top (if it makes it there)
After next red day, place sell order below that day.
Here are my opinion on current situation, this bearish trend, that we observe now is manipulated be bears! For sure we gonna see one more atack (BEAR), before major trend down (BEAR).
The reason is liquidity which stays untouched at the moment =)
