SPX Weekly Chart

SPX weekly chart shows the long term upward-sloping channel in place where price peaked at the top rail in March-April, and is now towards the mid-pont of the channel.  A bear flag pattern is in play although the consolidation zone is climbing to a point where the pattern will be nullified.  If the SPX would reverse here and move lower the target at 1230-ish would be in play, which also forms a confluence with the horizontal support line and the lower rail of the longer term channel. A confluence provides a price target additional street cred. The key levels of horizontal support in that lower target area are 1235, 1220 and 1204. The 20-week MA is above the 50-week MA which is bullish, but keep an eye on the 20 since it may curl downward.


The volume on the sell off a couple months ago was stronger than any other volume numbers since.  Thus, the market rally sees weak participation.  The neon green lines show the megaphone pattern in play currently, that can be explored better on a daily chart. The Fed and ECB actions over the next 24 hours will determine the fate of the markets. Traders simply have to wait and see if stimulus is on the table since stimulus trumps all aspects of fundamental or technical trading. After the news, reference this chart again to help determine the path forward.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.