The next few days should be very interesting...
S&P 500 – The SPYs are consolidating right at the important $280 level. This level is important because it was the top in February, March, and mid-June.
I think that the next few days will be very interesting and could be indicative of what the next few weeks will bring.
If this level doesn’t hold we could see a fast and meaningful selloff. If it does hold they will be building support at this level and it could be a sign that we are going to see another leg up in the rally.
Remember that markets go up slower than they go down so I think that slow consolidation is a Bullish signal but if we have a selloff it will happen quickly.
If they head higher there should be some minor resistance around $286 because that was the all-time high in January. If they head lower there should be support around the $268 level because that is where the two most recent lows were.
I think that the next few days will be very interesting and could be indicative of what the next few weeks will bring.
If this level doesn’t hold we could see a fast and meaningful selloff. If it does hold they will be building support at this level and it could be a sign that we are going to see another leg up in the rally.
Remember that markets go up slower than they go down so I think that slow consolidation is a Bullish signal but if we have a selloff it will happen quickly.
If they head higher there should be some minor resistance around $286 because that was the all-time high in January. If they head lower there should be support around the $268 level because that is where the two most recent lows were.
Trade closed manually
Comment:
Actually this wasn't a trade...but the SPYs have held the $280 level...could be setting up another move up in this bull market