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SP500 Technicals: Major Channel Resistance ?
​November 2 ( From Tradeview, Stockcharts )
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​​​​The Situation

​We have been in one of the most Bullish Stock Market in history
​since 2009.​ The Mighty SP500 Index from a low in March 2009
​of 666.79 to the high ever on May 2015 at 2134.71 rose by a
​factor ​of 3.2 spurred by low interest rates and strong buybacks
​from US corporations.

​​​​In fact, when we broke a Rising Wedge Pattern on August 21 2015​, ​​
​game was over on SP500 on a short term basis and then ​reached
​then the panic ​selling level ​on August 24 at 1867.01.
​​( See 1rst Chart Below - Bottom Grey Trendline )

​​We almost reached on September 29 the Daily Low of ​August 24 and
​rebouded violently. It was a double bottom​ and the market rallied
​and for the first time since August 24, and it did finally on a
​stronger volume.

And now, not only we are testing the Fibonacci retracement zone of .236% at 2071 ( From peak price on May 20 to the Low price on August 24 ) ( See 1rst Chart Below - Top Red line - Ellipse ) , but we are also back at the Monthly Major Trendlines of an old Rising Wedge that started back on October 2011. Close but no cigar yet.
( See Second Chart Below - Grey Trendline - Ellipse )​.

​​Observe the correlation between the Mighty SP500 Index with the US Dollar Index (DXY)​​. And we are back in the last few days already into the zone where we usually at risk to see a short term market downleg as history suggest.
( See last chart below at the bottom - vertical lines )

​​​​But the most interesting teschnical factor is that we tested the Daily Resistance Trendline of the Old Rising Wedge Pattern ( August 21 2015 Break Down Trendline ) that started back on December 16 2014 and failed to close above. Resistance level for November 2 at 2087.7​

( See 1rst Chart Below - Red Trendline - Ellipse )




 Louis Pasteur 
"Chance favors the prepared mind."

SP500 Technicals: Major Channel Resistance ?  $SPY, $SPX   #Trading #Investing #SP500 #dxy


SP500
Monthly Chart
Back at the Monthly Major Trendlines of an old Rising Wedge ​
SP500
Dailly Chart - Candles
​Fibonacci retracement of .236% at 2071

​SP500 Index ( Candles )​​​
Correlation SP500 Index with US Dollar (DXY) ( Line Chart - Bottom Panel )
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