SPX 5-Minute Chart Overbot Rising Wedge Negative Divergence Spank Down

The SPX 5-minute chart into the closing bell today is a great example of the expected price action out of a rising wedge. The collapse can be quite dramatic. Remember, chart patterns work the same way in any time frame, so a dramatic drop would be expected out of any rising wedge be it on a 5-minute chart, or a daily chart, or weekly, or a monthly chart. It was surprising to see the bulls keep the broad indexes elevated all day long as the textbook rising wedge formed (both the red and maroon rising wedges) and by the end of the day the bulls ran out of gas and the overbot conditions, rising wedge and negative divergence (blue lines) create the spank down. Once the lower trend line fails, it's over, or, it's ovah, as Keystone's friends in Brooklyn would say. The indicators are now weak and bleak wanting lower lows but this is only a 5-minute chart so it only helps you forecast less than one-half hour forward. Weakness would be expected for tomorrow's opening but indicators are already at oversold levels, thus, perhaps a price basing occurs shortly after the opening bell at 1800-1802, in this time frame. 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.