SP500; How deep?

I think that the answer to the question: "is the SP500 in a bearish sentiment?" can be given up. Instead, I will try to answer how deep the SP500 can fall and what else can be expected.

On the weekly interval , we can already see the confirmation of declines – cloud breakout. Tenkan line on D1 and W1 is quite far from the price, so in the near future we should expect the correction of last decreases; tenkan and price, at least on D1, should meet at that time.

The target of the dips, for me, is determined by the range of the N wave, which can be seen on the W1 interval and below.
Price can stop at any range – there doesn't have to be a reversal; the stop can only be to form a correction.

I believe the SP500 will fall to the last range – around 3400, where tenkan from the 1-year interval is also located – then a larger correction will form to set new lower ranges. Thus, the entire bear market will have two N waves and will eventually end between the 2700 and 2000 price.

Printing money on an unprecedented scale; inflation ; supply chain problems; war in Ukraine; rising interest rates; rising unemployment (SOON); these could all be reasons for a recession.

Commentaire:

AND there is our BOUNCE.

In particular, I will watch the price levels of 4080; 4200; 4350. If an opportunity arises, I will open a short position.

Commentaire:

The price has touched the first resistance. I would start trading here, but I already have a position on DAX40 and NIKKEI225 - I don't trade 3 indices at the same time until the others are at BREAK EVEN.

Commentaire:

There is a chance that price will touch the second resistance, around 4200.