SPX Daily Chart Rising Wedge Overbot Negative Divergence Channel Potential H&S

SPX daily chart shows a rolling top continuing to play out. The money flow has been negatively diverged for over two months. The thin black lines show the rising wedge nature of the price action which is bearish. RSI and stochastics are coming off their overbot levels. The red lines show hte last price move higher which results in universal negative divergence across all indicators creating the pull back from Tuesday thru Thursday last week. The neon green lines sloping downwards show that they want to see lower prices for the SPX moving forward.

The neon blue lines show a potential head and shoulders pattern setting up; a head at 1419 and 1390 neckline would target the 1350-ish area. The pink trend line is also important, it serves as a bottom rail for this upward channel in place the last four months. A failure of the pink trend line is bearish, ditto a failure of the 20-day MA, ditto the failure of the 1390 H&S neckline. Note how volume continues to trail away as price moves higher. Projection is lower prices moving forward. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.