The SPY flew below the 50d Exponential Moving Average with ease, but now it's hitting major support at the 100d Exponential Moving Average.
On the 21st of September, we hit it and it was rejected.
On the 23rd of September, the day closed on top of it.
On the 24th of September, the market fell below it but the market closed slightly above it.
Today, September 25th, the market opened on top of it and had an extremely green day rising way above it.
I'm still leaning on the short side. We're still bearish as we haven't broken the bearish pattern yet (take a look at the white angular line and the pitchforks). If we break above these, I wouldn't say we're bullish or bearish... it would be a wait and see scenario.
If the market falls below the 100d Exponential Moving Average (and stays down there), we'll be in extremely bearish territory.
On the 21st of September, we hit it and it was rejected.
On the 23rd of September, the day closed on top of it.
On the 24th of September, the market fell below it but the market closed slightly above it.
Today, September 25th, the market opened on top of it and had an extremely green day rising way above it.
I'm still leaning on the short side. We're still bearish as we haven't broken the bearish pattern yet (take a look at the white angular line and the pitchforks). If we break above these, I wouldn't say we're bullish or bearish... it would be a wait and see scenario.
If the market falls below the 100d Exponential Moving Average (and stays down there), we'll be in extremely bearish territory.
The right (vertical) white line represents where I personally want to exit my short positions, even if we continue into bearish territory
The yellow box represents a key zone of support/resistance
The red angular line represents the same path and force the original Coronavirus crash followed
The right angular white line is angular resistance, measured by the lower high peaks