Today we woke up with a SP Futures Market down on Fed day. The previous days the market was trading in a narrow range, yesterday we saw it crashing down anticipating the Fed day today, and this morning it took another dent until the level reached what we can see in the chart, a touch over the 100 ma support. Keep in mind that after hitting the ATH recently, it went down to this support. The market reacted well and recovered around 50% of the move. Today it´s going down again to the same point, which is interpreted as a test of the support levels. My forecast here is that the market has shaken the tree and is looking for another trip to the ATH levels.
We have a positive momentum divergence, Support Line at a strong moving average. It is normal to see a lot of volatility on days like today, so buckle up and enjoy the roller coaster.
We have a positive momentum divergence, Support Line at a strong moving average. It is normal to see a lot of volatility on days like today, so buckle up and enjoy the roller coaster.