S&P500 Weekly chart IS bearish
The week passed was really eventful.
The S&P500 is bearish, techncially clear as well.
The week's price action formed a massive bearish engulfing candlestick pattern. This pattern typically is followed by another bearish candle to complete the Three Outside Down candlestick pattern. Which strongly suggest that the coming week is bearish! Note that the momentum is downward biased as there is very little tails on either end, and one week wiped out three and a half week's of gain.
In support of the nbearish tone and momentum, the MACD crossed down, and also out of the MACD Bollinger Bands. Yes, I put BB onto my MACD so that I can tell when the momentum is strong enough to continue...
The purple channel was a price range that formed earlier, and price broke out of the resistance, and it was tested several times. But now, it broke down back into the channel... this is a channel breakout failure, and we can expect a breakdown to exit on the other side, perhaps to meet the 55EMA.
Notwithstanding, the beginning of the month tends to be bullish, and it remains to be seen how much bullishness can sustain, so we can expect a volatile and bearish week incoming!
The S&P500 is bearish, techncially clear as well.
The week's price action formed a massive bearish engulfing candlestick pattern. This pattern typically is followed by another bearish candle to complete the Three Outside Down candlestick pattern. Which strongly suggest that the coming week is bearish! Note that the momentum is downward biased as there is very little tails on either end, and one week wiped out three and a half week's of gain.
In support of the nbearish tone and momentum, the MACD crossed down, and also out of the MACD Bollinger Bands. Yes, I put BB onto my MACD so that I can tell when the momentum is strong enough to continue...
The purple channel was a price range that formed earlier, and price broke out of the resistance, and it was tested several times. But now, it broke down back into the channel... this is a channel breakout failure, and we can expect a breakdown to exit on the other side, perhaps to meet the 55EMA.
Notwithstanding, the beginning of the month tends to be bullish, and it remains to be seen how much bullishness can sustain, so we can expect a volatile and bearish week incoming!
