SPX Three Day Chart Fibonacci Retracements Positive Divergence

SPX three day chart showing the move down on Tuesday that formed a bottom with a LOD of 1101. Support was also formed at 1112. Note the small green circle showing a tiny gap that price may have wanted to come back down to fill today. The chart overall is constructive to the upside. Note the positive divergence from Monday to Tuesday as price placed the low. Also note that the one uncooperative indicator was the money flow shown by the black line. Money flow wants to see retests of the lower prints of 1112-ish, and perhaps 1101, so it can form positive divergence and join the bullish set up party and allow price to freely move up for a more extended rally.

Note how price has behaved in line with the Fibonacci retracements of the Tuesday late-day rally move. Price came down this morning and bounced nicely off the 62% Fib retracement, rallied, and then met with resistance at 1160. Price dropped back into the 38% to 62% Fib zone and into the close collapsed thru. For the indicators to universally set up with positive divergence, a test of 1112 and 1101 would be in order tomorrow. That would probably set things up for a rebound rally.This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.