Sunday, December 8, 2013
SPX Weekly Chart Upward-Sloping Channel Overbot Rising Wedge Negative Divergence Price Extended
The SPX weekly chart continues to look sick despite the bull party on Friday. The SPX actually finished a hair negative on the week. The last 3 week's of candlesticks are hanging men and doji's leaving on the table a potential trend change on tap. The red lines show universal negative divergence across all indicators. RSI and stochastics are overbot and the red rising wedge is peaked out; all bearish indications. The pink dots show the mean reversions that always occur since price is too far extended another feather in the bear's cap. Price is at the top rail of the channel a very logical place for a spank down in conjunction with the neggie d. The chart says down ahead although Chairman Bernanke and the Fed are dead-set on keeping the stock market elevated. Projection is lower equities for the weeks and months 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.