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03.02.2022 04:24 PM
Technical analysis on SPX.

SPX broke out of the bullish channel it was trading and lost nearly 600 points in less than a month. In previous posts we warned that there were signs of an imminent reversal as the up trend was weakening. The index made a low at 4220 and has since then bounced strongly higher.

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Blue lines- bullish channel

Black lines -Fibonacci retracement

SPX has reached the 61.8% Fibonacci retracement of the decline. At the same time price is back testing the lower channel boundary from below. Today price is in negative territory showing us rejection signals. A reversal from the current levels is a bearish sign but also a confirmation that the resistance at 4600 is very important. SPX getting rejected at the back test could lead to another leg lower. Bulls need to be very cautious.

Ringkasan
Urgensi
Analitik
Alexandros Yfantis
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