SPX 30-Minute Chart 8/34 MA Cross Inverted H&S and Expansion Patterns

Each day a new pattern appears. The red lines show an expansion pattern now in play which targets 1700.  The blue lines show an inverted H&S with head at 1677, neck at 1690, and target at 1703. With yesterday's high print at 3 PM, the indicators were negatively diverged, sans money flow, creating the sell off into the closing bell. The chart is leaning more bearish rather than bullish but the futures are goosed this morning and the SPX is set to launch over 10 handles at the open, straight higher to yesterday's high at the opening bell. Watch the indicators to see if negative divergence occurs for the bounce higher today. Note the maroon lines where price has exceeded the levels from 7 days ago but the indicators are lined up with negative divergence for the higher print yesterday.

Note the 8 and 34 MA crosses occurring with frequency; 6 crosses over the last 6 days, 5 crosses over the last 4 days. This is unprecedented behavior very rarely seen. It verifies the sideways indecision in the markets and the ongoing struggle for control. The 8 MA is sloping down but the bounce at the opening bell will stick-save the markets once again and curl the 8 MA to the upside. The bulls will make a  run at 1700 at the opening bell. Overall, the anticipation is that markets will level off and roll over again moving forward, however, the action is very susceptible to central banker and other news, as well as earnings. The tape is jumpy and that may continue today. Watch the 8/34 cross since that tells you who is winning moving forward and for now the 8 is above the 34 signaling bullish markets for the hours and days ahead. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.

Note Added 10:46 AM:  The SPX explodes higher at the opening bell and prints a new all-time high at 1704.97 curling the 8 MA upwards to verify the bull path forward. The 8 MA is 1696-1697 so the bears must push price under this level to curl the 8 MA back to the downside. If the SPX stays above 1697 all day long, the bulls will throw a party.