Trend following, no predictions, no forecasts, The S&P 500 Index (SPX), trading at $2,809, is approaching today a major Price Reversal today. Looking at the Weeklies, there is a major Bearish Price Reversal at $2,801, as shown on the stock chart. The Index traded under a 10% annualized rate of growth over 200 days ma, on May 7th.
Trend following the S&P 500 Index this morning. It is challenging that gap Up Breakout back on April 1st (red circle on the chart). That was the market valuation then at $2,845, todays valuation is $2,845. And obviously the market bought that as undervalued.
So we’ll see what the market values today and this week. The all time highs, 52 week highs, the new highs, are all pretty much irrelevant at this point. Those Highs have been rejected, or, not elected. Can the market get back up there? ..of course.
For the new readers, this is about pure trend following. No predictions, no forecasts.
The S&P 500 Index (SPX) trend following update today – looking at that March High which was a Weekly Bullish S/R (Support and Resistance Price Level) at $2,860. We’ll see what happens if the selling this week gets down to that area. No predictions, no forecasts. Long Term trend status remains intact: Upward.
The S&P 500 Index following up on last week’s Bullish bounce
On this chart, last week’s High (Weekly High) was $2,860.31. Today, intraday, the price hit $2,860.04 and backed off. We want to see it close over the High to indicate another Bullish trend following signal.
If the S&P 500 Index $SPX can hold the $2,2816 S/R (Support and Resistance price level), then the next level up is $2,856. Each close over these Reversal levels can be an ‘add’ shares, or a new position, on a Short Term or Medium Term basis. Long Term the market is not on an Uptrend, quite yet.