Thursday, January 21, 2021

SPX S&P 500 Daily Chart; Overbot; Rising Wedge; Negative Divergence; Upper Band Violation; Price Extended




It's time. The SPX prints matching and higher price highs, a new all-time high at 3861.45, but the chart indicators are all sloping down (negative divergence). The stochastics are overbot agreeable to a pullback. The rising wedge is ominous since the collapse from that bastard may be epic. Price has violated the upper band so the middle band at 3766 and lower band at the 3663 palindrome are on the table. That 3650 area is likely a landing zone over the near term.

It's cooked. Every time a fork is stuck in, however, the Fed, or Congress, or the vaccine makers come along and pull the fork out. This week already had the Yellen Parade, Biden Orgy, Powell Put and Lagarde Lifesaver so they will not provide surprise upbeat news overnight. The vaccines may be hyped overnight to try and save the day. Stocks would be expected to drop for several days forward and this negativity gels with the negativity on the SPX 2-hour chart so these are very powerful negative factors. They will smack hard. 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.

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