Yesterday market said no to further selloff and started to rebound again above 2880 level.
This forces me to review my previous comments.
Seems like a further rebound might me the most likely scenario for next few days.
There is high probability (I estimate it to 85%) S&P might go back to 2915-2920 in next few days to meet strong resistance there.
Keep in mind we are still under a mid term trend line (drawn form the bottom of Dec 2018) located at the moment around 2890. This is also playing as a resistance at the moment.
If we see volume and momentum on this rebound, trend line will be broken and we reach 2915, next level to watch for would be 2964. I would be ready to open short position at this point.
Shorts are very risky at this very moment, but overall long term outlook remains bearish.
Remember, one tweet can make it or break it at any moment.
This forces me to review my previous comments.
Seems like a further rebound might me the most likely scenario for next few days.
There is high probability (I estimate it to 85%) S&P might go back to 2915-2920 in next few days to meet strong resistance there.
Keep in mind we are still under a mid term trend line (drawn form the bottom of Dec 2018) located at the moment around 2890. This is also playing as a resistance at the moment.
If we see volume and momentum on this rebound, trend line will be broken and we reach 2915, next level to watch for would be 2964. I would be ready to open short position at this point.
Shorts are very risky at this very moment, but overall long term outlook remains bearish.
Remember, one tweet can make it or break it at any moment.