SPY is out of lower price range (yellow box) and now in the upper price range (blue box). It can still fail (after hitting solid blue line) but if it holds the lower end of blue box then most likely it will reach the upper range of blue box (somewhere close to solid red line).
Right now SPY has broken the downtrend (orange dotted line) and also broke the downtrend channel is dotted purple line. So the bearish trend which started at the beginning of the Sep is completely over. It doesn't mean that there can not be other selling wave...but not immediately in next few days (5-10 days). If another selling wave happens I believe it may be because of disappointment with earnings (which start around Oct 16th). Next few days, I believe market will move UP or Horizontal. Either try to reach top of blue box or come down, get a support from lower blue box or purple dotted line and then go up again.
Right SPY is also struggling with 50 Day Moving Average and if it fails in first attempt, it might get support from 9 Day Moving Average.
QQQ (Nasdaq) is in better position as its above to 50 Day Moving Average and most likely it will try to get support and move up.
Right now SPY has broken the downtrend (orange dotted line) and also broke the downtrend channel is dotted purple line. So the bearish trend which started at the beginning of the Sep is completely over. It doesn't mean that there can not be other selling wave...but not immediately in next few days (5-10 days). If another selling wave happens I believe it may be because of disappointment with earnings (which start around Oct 16th). Next few days, I believe market will move UP or Horizontal. Either try to reach top of blue box or come down, get a support from lower blue box or purple dotted line and then go up again.
Right SPY is also struggling with 50 Day Moving Average and if it fails in first attempt, it might get support from 9 Day Moving Average.
QQQ (Nasdaq) is in better position as its above to 50 Day Moving Average and most likely it will try to get support and move up.
Trade active:
Its following the purple arrow !!!
Comment:
So far going right...
