Be careful in taking new long positions. Bulls had an incredible rally, but for me it's time to be cautious. I have mentioned this before and I maintain this position. Time for consolidation is overdue.
Hi there,
The way i see things (purely my opinion only), technically it makes sense to me why there has been a rejection late last week of the recent rise up.
You may be asking - what is in the way for resistance levels? Well,
We have
- September low (red horizontal line)
- November high (red horizontal line)
- 50% Fib from recent low/high in the way
It is...
We all have different ways of analysis and reviews - and i know there is no one right method. Here is my first share and post.
This is my take on the week ahead for the SPX500 (week commencing 12 February 2019).
Interesting resistance levels to watch - as shown on my WEEKLY chart.
55 day MA in sight
61.8 fib from recent low high
Notes as part of my normal...
There has been a lack of momentum above the 200 day weighed moving average. If weakness continues today, we will most likely end up with a bearish inverted hammer on the weekly. This is not the type of set up where you would want to add to current positions. Strength was likely driven by retail investors and not institutions. A correction in a bear market.
ALSI formed a bearish shooting star doji on daily right on a resistance level. The bottom of this well defined channel is a likely target in coming days.
Trade set up: Our bias leans towards a short in the SPX, where we are looking for a break below the recent low of 2685 to enter the position. Upon this development, we would set a stop loss at 2725 and our take profit set at 2603. This profit target is subject to change and dependent on the price action, as a break of 2603 would hold huge bearish implications....
