US 500 IndexMis à jour S&P500, bulls want to trigger a major trend reversal?!
S&P500 / 1D
Hello traders, welcome back to another market breakdown.
S&P500 has been trading in a down-trend in this year. However, the trend is nested inside a larger trading range in the form of a channel where limit order bulls are making money as well. Here are the arguments for bulls and bears with the most highly scenario:
Bulls see:
1- 50% pull back from the low of 2000 covid's crash.
2- Support at the low of 2021.
3- June's low acting as support.
4- The friday's daily close was a bull bar closing at it's high. That would send a signal for bulls if this bar have a follow through. Forming a lower high major trend reversal. However, bulls should not be more excited, the last leg sell off was so strong that this might lead to higher low and another leg down to reach Covid's high.
5- Bulls also see an O-O (outside-outside) pattern which is a breakout mode. The pattern would trigger if bulls manage a follow through above the Friday's high.
Bears see:
1- We are always in short.
2- They see the current pullback simply as a double top bear flag and want at least another leg down forming the wedge pattern with the first two legs.
3- If the price goes higher, they are the possibility of a double top with Oct 5 high.
Traders should wait for more evidenace to make up their mind. Monday's bar would be a good confirmation bar for bulls and bears.
Trade safe,
Traders Leo.
Hello traders, welcome back to another market breakdown.
S&P500 has been trading in a down-trend in this year. However, the trend is nested inside a larger trading range in the form of a channel where limit order bulls are making money as well. Here are the arguments for bulls and bears with the most highly scenario:
Bulls see:
1- 50% pull back from the low of 2000 covid's crash.
2- Support at the low of 2021.
3- June's low acting as support.
4- The friday's daily close was a bull bar closing at it's high. That would send a signal for bulls if this bar have a follow through. Forming a lower high major trend reversal. However, bulls should not be more excited, the last leg sell off was so strong that this might lead to higher low and another leg down to reach Covid's high.
5- Bulls also see an O-O (outside-outside) pattern which is a breakout mode. The pattern would trigger if bulls manage a follow through above the Friday's high.
Bears see:
1- We are always in short.
2- They see the current pullback simply as a double top bear flag and want at least another leg down forming the wedge pattern with the first two legs.
3- If the price goes higher, they are the possibility of a double top with Oct 5 high.
Traders should wait for more evidenace to make up their mind. Monday's bar would be a good confirmation bar for bulls and bears.
Trade safe,
Traders Leo.
Note
Bulls in control
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Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.