A 60 minute view of SPX. I am going to consider it worth a shot from the short side here at the channel top. The stop loss will be a break above the orange dotted 70 period EMA. I am expecting an eventual bounce, as indicated in this morning’s update on SPX’ big picture, but as also noted, there could be more downside first. Still, with the possibility that yesterday was the low for this move, I am going to stay tight on the stop.
- I am more bullish than bearish with respect to a coming bounce. Therefore, this position may be against the accumulation of some bounce longs going forward. Beyond a potential bounce (to as high as 2000), the view remains a bear trend.
- This is a 60 min. chart, so this is all short-term stuff. The trade could be quick if successful and especially if it is not successful. If you are not comfortable with this time frame, please avoid!
Sell Short: Current level around 1913 (I am shorting SPXL again)
Stop Loss: Above 1920 to suit risk tolerance
Target: Approx. 1870 (August and September lows) to 1820 (October 2014 low)
A reminder that chart based NFTRH+ updates are just trade setup ideas, which may not be revisited as the parameters are already noted. They are meant as a starting point for further research if interested. Fundamentals-based ideas are also provided for your further research only. I will not personally buy every item highlighted and will sometimes sell – without prior notice (because this takes time and resource away from NFTRH’s main functions) – any item that I do buy, below target, which is something I often do as a trader. Also please be aware that I am not a fundamental stock analyst.