A Silent Build Using the SPY Weekly Chart, I.D Your Pivots-Wicks
Wassup people, I have another "Silent Build" here. A quick 3 min video on the movement of the market & to keep in mind always use your wicks or pivots as a price action guide. Always use your higher timeframes just as much as you use your lower timeframes. Taking a look at SPY's weekly chart, we see the COVID recovery from Mar-Aug. In Aug price stalled & went rangebound for over 2 months.
Then in Oct, a week before the U.S election the market printed a Double Bottom Pattern & one week after the election the market broke out into new ATH's & never looked back. That run lasted a year from Nov 2020 until Dec 2021.
This crazy Bull market has been on fire, but let's be honest, with all the money the government was dumping into the economy we knew some pain was ahead & here it is. If you were keeping tabs on your higher timeframes, you could have begin to get in front of it from Nov 2021 up to Jan 2022.
Some of the key pivot levels on the way down have already been broken. 426 & 405 to be exact. We had a strong bear leg from April of last month until May.
Here's a fun fact, historically when the market sells off for 6-7 weeks straight, it usually was the pre-cursor to a bear market & recession. Go pull up your chart & pinpoint the years: 2000, 2001, 2002, 2008, 2011 & 2022 to grasp my POV.
The market usually bounces after 4 week selloffs. This time around it kept rolling over for another 3 weeks!
Investors/Traders should start to pay attention if they haven't been before. Everything isn't a "Dip Buy" some investors & traders have & may continue to find that out the hard way.
Overall, my downside levels are 383-320. With 320 being a pre-election level. Granted these levels are long-term levels.
You have to account for bounces and minor recoveries as well. The market could just as well reverse back into the range of 404-470 over the course of 2022.
In the case of any continued downside movement, I will keep 383, 378, 367, 360 & 320 has my targets.
Hope everyone collects a bag rather we bounce or roll!!
Peaaacceeeeeeee!!!!!
Then in Oct, a week before the U.S election the market printed a Double Bottom Pattern & one week after the election the market broke out into new ATH's & never looked back. That run lasted a year from Nov 2020 until Dec 2021.
This crazy Bull market has been on fire, but let's be honest, with all the money the government was dumping into the economy we knew some pain was ahead & here it is. If you were keeping tabs on your higher timeframes, you could have begin to get in front of it from Nov 2021 up to Jan 2022.
Some of the key pivot levels on the way down have already been broken. 426 & 405 to be exact. We had a strong bear leg from April of last month until May.
Here's a fun fact, historically when the market sells off for 6-7 weeks straight, it usually was the pre-cursor to a bear market & recession. Go pull up your chart & pinpoint the years: 2000, 2001, 2002, 2008, 2011 & 2022 to grasp my POV.
The market usually bounces after 4 week selloffs. This time around it kept rolling over for another 3 weeks!
Investors/Traders should start to pay attention if they haven't been before. Everything isn't a "Dip Buy" some investors & traders have & may continue to find that out the hard way.
Overall, my downside levels are 383-320. With 320 being a pre-election level. Granted these levels are long-term levels.
You have to account for bounces and minor recoveries as well. The market could just as well reverse back into the range of 404-470 over the course of 2022.
In the case of any continued downside movement, I will keep 383, 378, 367, 360 & 320 has my targets.
Hope everyone collects a bag rather we bounce or roll!!
Peaaacceeeeeeee!!!!!