SPX - Near-term Bounce Opportunity
The SPX has fallen quite substantially, down approximately 8% over the last few trading days, but a relief rally may be just around the corner.
I would expect at best, a 50% retracement ($325) of the total fall, but being more conservative never hurt anyone, so a target of around the 38.2% ($322) fib level would be quite a feasible target in my opinion.
Whilst it is impossible to determine whether this is or is not the bottom, there are some signs that at least a relief rally may be staged from here.
- Bullish RSI divergence
- Well beyond 3 ATR on the daily (this is a less reliable metric)
- The significant gap between current price action and the key moving averages, particularly between the shorter-term trading moving averages and longer-term averages
Any near-term bounce trade after such a significant drop carries inherent risks, however nothing ever goes straight up or straight down indefinitely, nevertheless, position accordingly.
-TradingEdge
I would expect at best, a 50% retracement ($325) of the total fall, but being more conservative never hurt anyone, so a target of around the 38.2% ($322) fib level would be quite a feasible target in my opinion.
Whilst it is impossible to determine whether this is or is not the bottom, there are some signs that at least a relief rally may be staged from here.
- Bullish RSI divergence
- Well beyond 3 ATR on the daily (this is a less reliable metric)
- The significant gap between current price action and the key moving averages, particularly between the shorter-term trading moving averages and longer-term averages
Any near-term bounce trade after such a significant drop carries inherent risks, however nothing ever goes straight up or straight down indefinitely, nevertheless, position accordingly.
-TradingEdge
관련 발행물
면책사항
이 정보와 게시물은 TradingView에서 제공하거나 보증하는 금융, 투자, 거래 또는 기타 유형의 조언이나 권고 사항을 의미하거나 구성하지 않습니다. 자세한 내용은 이용 약관을 참고하세요.