Monday, October 20, 2019

SPX - DailyEquities are moving into price exhaustion territory and sets up another possible selloff. Currently the top three indices, S&P 500 (SPX), Nasdaq ETF (QQQ), and Russell 2000 ETF (IWM) have active TD Sell Setup counts at 6. Furthermore, the SPX and QQQ all have active counts of TD Sell Countdown @12. Should the indices maintain their counts, this sets up price exhaustion early in the week. Even if the SPX takes out new highs at 3027.98, it’s likely a bull trap.

SPX - Four HourIn another scenario, the SPX may have already started the descent lower. The four hour SPX timeframe recorded a TD Sell Setup @9 last week, and currently the SPX is wobbling. To have any bearish significance, the four hour SPX needs to take out the TDST Support level at 2917.12. Trading above 2917.12 with anemic VIX readings represents more of a buying opportunity.


 

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s