Upside Fuel, Exhausted?
Are we starting the next leg down?
Yesterday’s post, had this to say:
“SPY has yet to post a new daily low (below SPY, 394.49). If or when it does, that’s just one more addition to the bearish scenario.”
This morning’s open, puts the SPY below that 394.49, level and potentially confirms an up-thrust reversal as well as downtrend contact (shown below).
However, let’s not get ahead of ourselves as the first order of business, especially with the S&P (SPY), is an attempt to close this morning’s gap.
While that’s happening, let’s look at the charts.
S&P 500, SPY, Daily
Looking at the wider timeframe, first.
Now, let’s get closer-in.
As this post is being created, SPY is attempting to close the opening gap as expected.
As posted earlier, events are accelerating to the downside.
Supporting that assessment, we have this just out on the Crypto carnage; then on the flipside, we have this report, pointing to more upside.
Meanwhile, biotech pivots lower.
Part of the objective of these posts is to document the procedure (Wyckoff analysis) being used to select the market(s) most susceptible for a significant decline.
With that, it’s been on again off again with biotech for most of this year.
However, it looks like we’re now, at another (possibly, final?) pivot point lower.
Positions: (courtesy only, not advice).
The biotech short is being built in real time (not advice, not a recommendation).
Entry @ 18.1398, 17.565, 17.65, 18.1594, 19.2792***: Stop @ 17.84***
***, Indicates change
Charts by StockCharts
Note: Posts on this site are for education purposes only. They provide one firm’s insight on the markets. Not investment advice. See additional disclaimer here.
The Danger Point®, trade mark: No. 6,505,279
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