SPX S&P 500 2-Hour Chart; Oversold; Falling Wedge; Positive Divergence; Lower Band Violation

The SPX 2-hour chart is ready to launch higher right now. This gels with the expectation that the month may end in rally mode due to the whole month trending lower thus far (when this happens the month tends to end moving in the opposite direction). The green lines show universal positive divergence as price made the lower low on Friday.

Price has violated the lower band so the middle band at 2708 and dropping is on the table. There is a gap at 2680-2700 that will need filled. The 150 and 200-day MA's are at 2767-2776 which is at the top rail of that falling wedge pattern (which is bullish).

With universal possie d, the RSI and stochastics coming off oversold territory, the falling wedge, the lower band violation, all bullish indications, the expectation would be for price to rock and roll higher in this 2-hour time frame.

The daily chart show possie d for all its indicators sans the MACD line. Thus, price may bounce to begin the week as the 2-hour chart indicates, but then the daily chart will exert its influence later in the week to bring price down again if the MACD line remains weak and bleak, at that time, if the MACD line turns possie d on the daily chart, the strong relief rally higher will begin or is in progress. 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.