SPY close analysis 6/21/2023 - Head and Shoulders Danger Zone

2023년 6월 21일

Ouch! That doesn't look good. Today opened with a gap down that bulls failed to completely close. Now here we are after close threatening a particularly nasty looking head and shoulders topping pattern right off my diagonal supply zone. I don't like this at all!

That gap above at 437.25 is going to be problematic for the bulls after the failed fill today. Fill it quickly tomorrow and get that oscillator moving back up and *maybe* things will turn out for the bulls.

It wouldn't surprise me to see a gap down and bears work on that "gap support" zone in the mid 430's tomorrow. If things get really heated, I've charted an even lower open gap + fib golden pocket retrace target that has perfect moving average support at 423. That would be quite the move. Powell speaks again tomorrow, could this do it?

My trade plan for tomorrow: Break 432 I'll call the H&S confirmed and short. Long if we can clean the gap above 437.25. Anything in between 432 and 437 I expect chop so no trade.