The SPY Looks Like It Could Soon See $420-$425
Rigtt now the SPX is trading inside a Descending Boradening wedge at a Previous Zone of Weekly Congestion and has Bullishly Engulfed the Weekly lows and held above said lows.
So long as we can continue to hold these levels we should eventually see the top of the channel and previous Support/ Resistance level of $420-$425 and (if we are to aim for Full Measured Moves we'd expect to see $478.50 but for now lets just target $420-$425 then move forward from there); However any serious price action below this Congestion Zone would likely result in us fastly approaching the $200s, so to be safe i will Cut this Bullish Trade loose if we Break and Close Below the 200 Week Simple Moving Average.
So long as we can continue to hold these levels we should eventually see the top of the channel and previous Support/ Resistance level of $420-$425 and (if we are to aim for Full Measured Moves we'd expect to see $478.50 but for now lets just target $420-$425 then move forward from there); However any serious price action below this Congestion Zone would likely result in us fastly approaching the $200s, so to be safe i will Cut this Bullish Trade loose if we Break and Close Below the 200 Week Simple Moving Average.
Comment:
First trade target of $420-$425 was hit perfectly and now we find ourselves back down at support with some bullish divergence this time if it bounces up again then i will expect that it breaks out of the wedge this time as that would be a partial decline and that would set us up for near All Time Highs.
