[ad_1]
The completed decrease yesterday by round 60 bps to make a brand new closing low on this downdraft at 3900.78. At this level, it looks like the market makers are simply pinning the index to that spherical quantity for the opening print for tomorrow’s choices expiration. Then after that, all hell can break free; I’m joking to a point.
S&P 500
The technical setup doesn’t look favorable, and I wouldn’t say I just like the consolidation candle at present. There have been six events of this candle taking place. 4 of these instances, the day after, the candle noticed an enormous transfer in the identical route because the day earlier than the consolidation/Doji candle. It doesn’t need to be an enormous down day, however I wouldn’t say I like the percentages of it not being a down day.
Moreover, one other flag sample has shaped on the S&P 500 5-minute chart. That might additionally level to decrease costs and break under 3,860. I feel primarily based on the projection of the primary leg down, it might even consequence within the index finally bottoming out round 3,700. That doesn’t imply it has to occur in sooner or later, in fact, however over a few weeks.
I additionally assume we are actually in Wave 5 down, as I famous on Wednesday, and primarily based on that wave depend; I feel we are actually beginning a minor wave 3 of that wave 5 down.
TIP
Primarily based on what I noticed, the public sale didn’t look like sturdy, which brought on the yield to surge. That despatched the TIP ETF into reverse yesterday after beginning the day increased. The one excellent news for the bulls is that TIP ETF has been holding agency, providing a possible vivid spot. Nonetheless, the chart doesn’t look good at this level.
Apple
Apple (NASDAQ:) fell 2.5% yesterday and closed under that $139 space I discussed on Wednesday. The chart exhibits that the inventory rallied with minimal interruption from June 3, 2021, to July 14, 2021, and that area the place the inventory moved increased doesn’t supply a lot in the way in which of technical help, which makes me assume that these low $120 is more likely to be the most definitely cease.
Meta Platforms
Meta Platforms (NASDAQ:) has been consolidating for months and has shaped a diamond sample on the every day chart. Usually diamonds are reversal patterns, however I’m unsure that’s the case for Fb. Generally these patterns can be continuation patterns in my expertise. We should always know very quickly as a result of the shares are very near breaking the uptrend, and if that occurs, the inventory will head for brand new lows.
Unique Publish
[ad_2]