Key Findings: expect bearish momentum again. - S & P s recent bullish move brought us again into trend resistance zone, we can at least expect a retrace here. But here are things getting interesting, normally we would expect some little retrace here with then a continuation to the upside before heading towards a next downturn. But this upcoming retrace will be heavily fueled by fundamental stressors. German President of the European Commission Ursula von der Leyen just announced yesterday night there will be a SWIFT ban for russias central bank and russian commercial banks. Markets also expecting to the FED to decrease Q.E. and announce rate hikes any time soon. This occurs whilst we stay at both strong horizontal and trend supports. Expect strong downside momentum from here. The next bigger move down could be triggered right here on this price level. Tuesday could give us a proper bounce up before we would dump again from wednesday on. I am expecting a downtun right into FED FOMC Meeting days, probably until March 14. FED FOMC Meeting results will be published March 16.
@Leo-btm, thanks, truely there is lot of downside potential
Faraz_kuchulu
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You also see the euro rising and the Nasdaq down, while lately they were in the same direction, these two symbols.
MrKrft
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hey @Faraz_kuchulu, thanks for asking, thus a very good question and you are absolutely right. Euro and stock indices have a positive correlation and i used to trade that as well. But the previous analysis on EUR:USD and US500 were done independently. I always do my analysis of difeerent fx pairs or assets independently, but most often they deliver consistent results,that are matching their correlation. This was not the case this time.