S&P 500 – Selling Off Heavy
On Aug. 22nd we discussed the bullish engulfing bar on the daily chart, and how we suggested short term it meant more upside, but that we were looking to sell rallies around 1675 area, targeting 1640 and 1580. The major index went just up to this level (minus a handful of points), forming a double top and dual pin bars with the last one being a false break. From here, it was a one way train lower, dropping over 40 pts in the process.
Intra-day price action isn’t suggesting any major upside soon with the small consolidation at the lows, so I’ll look to sell on rallies towards the SL (swing low) around 1635 and 1643 which was a key role reversal level, targeting 1600 and 1560 as I’m suspecting any rallies will be sold.
Original post
On Aug. 22nd we discussed the bullish engulfing bar on the daily chart, and how we suggested short term it meant more upside, but that we were looking to sell rallies around 1675 area, targeting 1640 and 1580. The major index went just up to this level (minus a handful of points), forming a double top and dual pin bars with the last one being a false break. From here, it was a one way train lower, dropping over 40 pts in the process.
Intra-day price action isn’t suggesting any major upside soon with the small consolidation at the lows, so I’ll look to sell on rallies towards the SL (swing low) around 1635 and 1643 which was a key role reversal level, targeting 1600 and 1560 as I’m suspecting any rallies will be sold.
Original post