Last night, after the Fed maintaining rates, together with the seemingly worsening coronavirus outbreak, the S&P500 appears to have all it needs to trigger a down slide.
Technicals advocate this bearish outlook as the gap failed to close with a lower high formed, a breakdown of the trendline support, deteriorating MACD, and a OBV crossdown. All these align with the environmental factors of concerns to fuel fear.
Other leading indicators have been flashing warning signs since late last week, as described elsewhere. These include Gold, VIX, TLT, DJ Transports, Value Line, etc.
All we need now is confirmation by closing below 3240.
Note that the red arrow yesterday marks a Put entry. 😉
Technicals advocate this bearish outlook as the gap failed to close with a lower high formed, a breakdown of the trendline support, deteriorating MACD, and a OBV crossdown. All these align with the environmental factors of concerns to fuel fear.
Other leading indicators have been flashing warning signs since late last week, as described elsewhere. These include Gold, VIX, TLT, DJ Transports, Value Line, etc.
All we need now is confirmation by closing below 3240.
Note that the red arrow yesterday marks a Put entry. 😉