SPX Weekly Chart Overbot Rising Wedge Negative Divergence

The rising wedge patterns, overbot conditions and negative divergence create the spank-down from the 1597 top. The lower trend line held where price bounced last week. Today the SPX is set to move higher due to the G-20 providing a blessing to the BOJ's yen devaluation. The weaker yen, sends dollar/yen higher, watch the 100 level for dollar/yen, and equities higher. So price will play around within the apex of the rising wedges. The indicators are universally negatively diverged across the couple year time frame and across the last couple months. The MACD line has a smidge of strength remaining (short green line) which is in agreement with a bounce in price to start the new week of trading.

Note the strong selling volume last week at levels not seen since early December when price was 1400-1450. Price is also greatly elevated above the 200-week MA requiring a reversion down like the 2011 and 2012 tops. Projection is for the SPX to move sideways to sideways lower for the weeks ahead. 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.