Apr
7
The End of the Beginning?
"Don't fight the Fed." Is that the answer. Let's look at some charts.
SP500 (daily) with multiple moving averages...Dave Landry style. Stocks fell sharply with "daylight" between price and the descending averages. The ETF made a "bow tie" cross down in late February with a recent bounce.
The declining MA50 (not shown) is about 292.
When we look at the "Gann 3 day charts" we see that most recently there were three days of higher lows and higher highs, a gap down and then another three day positive run.
The SPY peaked around 338 and fell to about 218...120 points. We're at about the .382 retracement off the lows and the fifty percent retrace would be about 278.
Ergo, recent action is constructive by multiple metrics, including a higher low at about 244 and a higher high.
SP500 (daily) with multiple moving averages...Dave Landry style. Stocks fell sharply with "daylight" between price and the descending averages. The ETF made a "bow tie" cross down in late February with a recent bounce.
The declining MA50 (not shown) is about 292.
When we look at the "Gann 3 day charts" we see that most recently there were three days of higher lows and higher highs, a gap down and then another three day positive run.
The SPY peaked around 338 and fell to about 218...120 points. We're at about the .382 retracement off the lows and the fifty percent retrace would be about 278.
Ergo, recent action is constructive by multiple metrics, including a higher low at about 244 and a higher high.