The S&P 500 is back below the daily 200 simple moving average. The last time it traded below this indicator was towards the end of January 2022. What does this mean for price? Not much at the moment as price is consolidating at the moment so we can expect to see moves above and below the 200 simple moving average. The high of the consolidation zone is at $4818...
The S&P 500 started off the year volatile but we are starting to see price organise itself with the aid of the weekly 50 simple moving average. The last time price came into contact with the 50sma was in June 2020, near the start of the current bullish rally. It wasn’t a surprise to see price run out of steam as it had been such a strong run. We identified...
A pattern is forming in Bitcoin if you know where to look so could this signify what will occur next for this highly traded cryptocurrency. In April 2021 price declined from circa $65,000, dropping 55% to below $30,000 in June 2021. Then after a rally, price declined from just under $70,000 in November 2021 to circa $33,000 in January 2022 and this drop was...
When price approaches a level of support or resistance that has not been broken in years, we must take note because a huge trend usually follows a break of such levels. If we take a look at the consolidation zone for the EURGBP, it began from the October 2016 high at 0.9225. A low was then formed in April 2017 at 0.8297. Since then, price has mainly been trading...
When the decline began in early January, the 20 and 50 simple moving averages were the obvious levels of support. After those levels were broken and price gained momentum to the downside with big bearish candles, the next level of expected support was the 200 simple moving average. On January 21st, price sliced through the 200 simple moving average with ease and...
Bitcoin is again proving how volatile and unpredictable the cryptocurrency market can be. The start of 2021 was bullish, then after a 55% decline from April to June 2021 price rose to create another new all-time high at $69,000 in November 2021. Since then, another decline has developed, seeing a dro of 51% so far. What we can see now is a consolidation zone...
The markets are displaying weakness which usually kicks in during the month of February but came early this year. We started to see declines from early January but for now, the overall market remains bullish. The Nasdaq and the Dow Jones broke and closed below the daily 200 simple moving average on January 20th. The S&P lagged behind and closed below the daily...
Crude oil is seeing bullish momentum in price following the pullback we saw between October & December 2021. Price pulled back to the weekly 50 simple moving average where it found support and has seen a nice impulsive move up this month. Since the low that was formed in April 2020, where the price of oil temporarily reached $0, there has been an uptrend in play,...
The FTSE 100 has been gaining ground recently, with a 2.95% move for January 2022 alone. December was up 4.62%, so there is clear momentum right now. This brings a nice change from the sideways movement we had between May - October 2021. Following the all-time high created on May 2018 at 7903, price declined, gaining momentum during the peak covid pandemic in...
Will Bitcoin finally hold from declining any further? Only time will tell, but this level has held strong before so let’s see what happens next. A high was formed in January 2021 at $42,000 but the following month price surged past this level. From then on we have seen a sideways market. This level was then used as support in September 2021 before we saw a...
It’s the start of the year, and already, the markets are displaying a bit of turbulence to shake off the dumb money investors. This is merely a pullback for now, and there are clear signs to confirm this. We can see that the S&P has been using the 20 and 50 simple moving averages as support since the breakout in November 2021. At times when price moved lower...
April 2021 saw price decline 51% from a high of just under $65k to a low of $30k, where the 50 simple moving average was used as support. There was a reversal back to the upside after hitting this indicator and price went back towards $65k, even exceeding the high from April. In November, price fell again and came back to the 50 simple moving average, and so far...
The S&P is moving along well but is also encountering a few stumbling blocks along the way. In September and October 2021, price went into consolidation, which was due for that time of the year, and a breakout followed this. The start of November saw the beginning of another period of consolidation, which price currently remains in. Price has attempted to break...
Bitcoin appears to be sleeping right now, but should we be sleeping on Bitcoin because when it is ready to take off, we will not be given much notice as we have experienced in the past. We should always keep an eye on the market and read the information that price is providing for us. To the naked eye, Bitcoin does not look interesting as we can see price has...
Bitcoin has not made much progress since the decline from April 2021. Price suddenly fell 56% over the course of a few weeks to the weekly 50 simple moving average, which at the time was around the $30,000 round number. Following the bounce in July 2021, price headed back to the high from April and made contact in October 2021, where it failed to break and stay...
The current pullback we are experiencing in the S&P 500 is almost as deep as the pullback in September, having declined 5.11% so far. At the moment, the 50 simple moving average is holding as support. If this level fails, then we have the 200 simple moving average below, but price will have to decline a further 5% to reach it. A decline that far will see lots of...
The S&P 500 closed Friday with a huge bearish candle, and price found itself suspended between the 20 & 50 simple moving averages. The next logical level for price to move to was the 50 simple moving average, which is the next support level on the daily timeframe. Price had other ideas as Monday opened higher than Friday’s close and near the middle of the...
Last week's previous post for the S&P 500, the all-time high at $4718 was highlighted as the level we want to see broken to confirm a trend continuation. Price did in fact break this level on November 22nd, but this proved to be a fake breakout. Price moved above $4718 but failed to close above this price. We can see a mini consolidation in play now, and just...