Special Update

SPX Falls 44 Points

Going Forward, I will try to do updates whenever there are major market moves.

The bottom line is today’s move was very strong and there will likely be a lower low and a lower close in the near future. You can see we are already saw 207 as stated in the weekend update. With that level broken, the next target will around 201-203. We also have a long term trend line near that level.

1526170_orig

For tomorrow, I have at-least 5 bounce signals from various models that triggered. That means a bounce is imminent. The ideal play would be another gap down in the morning. This might be a relatively safe buy that I might take for a very short term bounce into Wednesday. However, there are better chances we gap up at the open tomorrow. At that point, it may be better to look for opportunities to get short. Look for a bounce back to the 207 level on SPY. Any consolidation would also be bearish.

– Trader Tony

NO COMMENTS

LEAVE A REPLY

*