Reverse Head and Shoulders Setup on SPX, Target at 4480
Trend Analysis
The main view of this trade idea is on the 15-Min Chart.
There appears to be a reverse Head & Shoulders chart pattern setup on the S&P 500 Index. The Left Shoulder is seen around 4250 support level. The Head of the chart pattern setup is observed around the 4120 price level. This is initially seen as the lows of the current S&P 500 Index correction. The Right Shoulder is seen around the 4240 support level. The Neckline of the chart pattern setup is constructed from the lower highs of the 4360 and 4295 resistance levels respectively. This setup produces a target around the 4480 price level.
At the time of publishing the S&P 500 Index broke above the neckline and is currently rallying towards the 4480 target. A breakdown of this setup will be observed if the S&P 500 Index were to break below the neckline.
Recommendation
Given the current price levels. The recommendation will be to remain neutral until a buying opportunity arises.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes.
The main view of this trade idea is on the 15-Min Chart.
There appears to be a reverse Head & Shoulders chart pattern setup on the S&P 500 Index. The Left Shoulder is seen around 4250 support level. The Head of the chart pattern setup is observed around the 4120 price level. This is initially seen as the lows of the current S&P 500 Index correction. The Right Shoulder is seen around the 4240 support level. The Neckline of the chart pattern setup is constructed from the lower highs of the 4360 and 4295 resistance levels respectively. This setup produces a target around the 4480 price level.
At the time of publishing the S&P 500 Index broke above the neckline and is currently rallying towards the 4480 target. A breakdown of this setup will be observed if the S&P 500 Index were to break below the neckline.
Recommendation
Given the current price levels. The recommendation will be to remain neutral until a buying opportunity arises.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes.