Sunday, February 22, 2015
SPX S&P 500 Weekly Chart Overbot Negative Divergence Price Extended
The weekly chart remains negatively diverged over the several month time frame after price prints new all-time highs. The short green lines show a hair of momentum available so price may float higher for one to three weeks before dropping. The purple dots show price extended needing a mean reversion (lower prices). The projection would be a couple weeks or so of sideways then lower. The monthly chart is negatively diverged so the two charts jive together hinting at a potential multi-year market top printing in March. 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.