An outside reversal is a price pattern that indicates a potential change in trend on a price chart. The two-candle pattern is observed when a security's high and low prices exceed the high and low of the previous candle's trading session. This past week's high and low exceed the high and low of the previous week.
Last week saw the largest decline in markets since the rally of the March low and in doing so created an Island Reversal Pattern which is a bearish type of chart pattern. Island Reversals form when price creates a gap up during an uptrend, holds above the gap level for a few days, and then reverses back to the downside while creating another gap on the move down...
Silver(Sl1!) closed at $17.90 on Tuesday for a $0.53(+3%) gain on the day. Price is currently testing the $18 level which is just below a diagonal trendline which stems from the August high near $20. Price has also created a series of yellow candles over the past 4 trading sessions which indicates that there is bullish momentum volatility behind price according...
The S&P 500(SPX) closed today at $2,922.94 for a -$30(-1.05%) loss on the trading session. Price is also once again hitting 61.8% Fibonacci resistance and setting up for what could potentially be a triple top pattern. The 61.8% Fib level has acted as resistance since late April while each pullback has held at the 50% Fib making this the current consolidation...
This ratio shows the amount of silver it takes to equal one ounce of gold in price. When the ratio is rising it means that gold is outperforming silver; when the ratio is falling it means that silver is outperforming gold. The gold to silver ratio is currently at 106 and falling after hitting an all-time high of 126:1. The average ratio in modern times is...
Silver(Sl1!) closed at $16.15 from an opening price of $15.75 for a gain of $0.40(+2.54%) today. This move comes after a recent break above trendline resistance which was followed by 4 days of price holding above the trendline. This hold above the trendline saw 4 doji candles form which are indecision candles. A doji candle is a price candle with a small body,...
Gold(GC1!) closed at $1,740.9 for a +$17.8(+1.01%) gain today. Price also made a push above the upper resistance line of the pennant formation which is a bullish move and one that was anticipated in previous chart analysis shared. While this was a bullish break above resistance, we need to see a sustained move higher for a sign of uptrend continuation. Overhead...
The S&P 500(SPX) closed today at $2,820 for a -$50.12(-1.75%) loss. Price is coming off of a second test and rejection from the 61.8% Fibonacci retracement level which has created a potential double top pattern at that critical Fib level. Price managed to hold above the 50% Fibonacci level on today’s selloff which is the midpoint of the total Fibonacci range...
Bitcoin(BTCUSD) has moved back below the 50% Fibonacci retracement level after hitting 61.8% Fibonacci resistance near $10,000 this past Thursday into Friday as traders pushed price higher ahead of the halving event which took place today. The rally on Friday was also fueled by legendary trader Paul Tudor Jones announcing that he has entered the cryptosphere as...
The S&P500 Volatility Index(VIX) shows price testing the 78.6% Fib level near $28 and the first reading back below $30 since February. With the VIX below the 61.8% Fib retracement price is technically back in a bear trend and indicates that forward-volatility in the SPX is expected to dissipate. The VIX represents the market’s expectation of 30-day...
The weekly SP500 chart shows price testing, and closing at, $2,950 which has been a major support and resistance level going back to September 2018. Price briefly held above this level for two weeks at the beginning of the coronavirus selloff, but ultimately failed to hold and fell down to the $2,200 level before the relief rally that we’ve seen over the past 7...
The S&P 500(SPX) closed Friday at $2929.81 for a +$48.61(+1.69%) gain. Price closed right at the 61.8% Fibonacci retracement level which is where price peaked on April 29th(red arrow) before seeing a slight pullback to the 50% Fibonacci level. The 50% Fibonacci level is the midpoint of the total Fib range from the all-time high of $3,393.52 made in February to...
Silver(Sl1!) closed at $15.59 from an opening price of $14.92 for a gain of $0.67(+4.49%) today. Price also closed just above the orange downtrend resistance line which is bullish seeing as how this line has been acting as resistance since early April. Going forward, we need to see price hold above the orange resistance line and make an eventual push above the...
Gold(GC1!) closed at $1,725.8 today from an opening price of $1,686 for a $39.8(+2.36%) gain while tagging, and coming to a stop at, the upper line of the pennant formation in the process. The pennant is a bullish price formation with the expected outcome being a break above the upper line of the pennant formation and a push back up toward $1,800. The Relative...
Gold(GC1!) closed at $1,713.3 today for a $12.4(+0.73%) gain. Price has formed a pennant formation which given the fact that it has formed after a move to the upside makes it a bullish price formation. The expected move here is a push above the upper line of the pennant and re-test of the $1,800 level. A move below the lower line of the pennant would indicate a...
Zillow closed at $42.46 on Friday for a -$1.50(-3.41%) loss. Price also closed back below the 50% Fibonacci level which was briefly breached to the upside last week but failed to hold as support going into the weekend. The 50% Fibonacci level acted as resistance back in March and April highlighted by the red arrows and appears to still be resistance now. Price...
The Dow Jones Industrial Average(DJI) closed Friday at $23,723.7 with a loss of $622(-2.55%) to start off the new month of May. With Friday’s decline price also closed below the lower line of the rising wedge pattern after finding support at, and trending just above it, for the previous 8 trading sessions. This is the second wedge break since highlighting the...
The Dow Jones Industrial Average(DJI) closed today at $24,633 with a gain of $523(+2.2%) which came as the Federal Reserve held their third FOMC meeting of the year and left interest rates near 0%. Price now has three closes above the 50% Fibonacci retracement level which is bullish and places price back in the upper half of the total Fib range from the February...