Looks like a bear flag with potential dive to 2740 (Previous Horizontal support and also Fib extension level)
If it continues on the downside, it may reach the 2500s before it finds a good support level.
If it continues on the downside, it may reach the 2500s before it finds a good support level.
Comment:
Lots of buying pressure at the end of today's session. This might indicate that the current support at 2900 will hold the price above it.
Comment:
Now SPX reached the target of the second leg of the bear flag. It might gain some strength to form another bear flag and then continue down to 2560s. I won't call the drop-down move over unless it breaks above 3137 with good volume. I won't bet on the upside or downside at the moment. Speaking about fundamentals, Coronavirus craziness is still on. The panic is getting worse despite that the rate of new cases has actually declined. Add to that the oil price war between Saudi Arabia and Russia, which makes things worse. So, the bias is still to the downside.