S+P 500 has created a potential "double top" reversal
at 3225 with two monthly attempt failures now recorded
in both June and in July.
Also notable,and shown here is the "ATR" Average True Range Indicator,
which importantly showed a continued bearish divergence with price
and "turned down"( Note the chart) on the last attempt to breach 3225,
on a weekly close.
However, traders must be very careful about shorting this market in size.
If you choose to go all in,, make sure you are "bid away" GTC from the market,
so if price starts to fall substantially, your short would be activated on a "Buy Stop"
But do note.
An overriding concern in being substantially short,
is that there is now an unprecedented world health organization press to find a virus cure.
if that should occur, I would suggest to you that the stock market could rocket to the heavens.
Obviously one would not want to be short at that moment.
Nasdaq 100 technology stocks however have seen the first significant cracks in their armor
this past week in an extremely overbought herd mentality trade.
Bottom Line.
There is substantial risk,on either side of the market.
Traders should pay careful heed before they think
of pulling the trigger, on an investment
that they could substantially regret doing so.. later.
THE_UNWIND
7/18/20
NEW YORK
at 3225 with two monthly attempt failures now recorded
in both June and in July.
Also notable,and shown here is the "ATR" Average True Range Indicator,
which importantly showed a continued bearish divergence with price
and "turned down"( Note the chart) on the last attempt to breach 3225,
on a weekly close.
However, traders must be very careful about shorting this market in size.
If you choose to go all in,, make sure you are "bid away" GTC from the market,
so if price starts to fall substantially, your short would be activated on a "Buy Stop"
But do note.
An overriding concern in being substantially short,
is that there is now an unprecedented world health organization press to find a virus cure.
if that should occur, I would suggest to you that the stock market could rocket to the heavens.
Obviously one would not want to be short at that moment.
Nasdaq 100 technology stocks however have seen the first significant cracks in their armor
this past week in an extremely overbought herd mentality trade.
Bottom Line.
There is substantial risk,on either side of the market.
Traders should pay careful heed before they think
of pulling the trigger, on an investment
that they could substantially regret doing so.. later.
THE_UNWIND
7/18/20
NEW YORK