I’m grabbing a quick early morning moment to review Friday’s price action as I was traveling yesterday.
Well, you can’t say I didn’t warn you. Friday was a face ripper. More support broken. Descent is getting steeper. Hold on. I think we are almost down. Hard deck looks to be SPY 265/270.
This is never easy.
We are likely to get a final flush down soon. That would actually be OK as, if we are not in a full blown nightmare, it would get so oversold it would bring the buyers back in to support the next expansion cycle. Sprinkle dash of hope on top and stir in gently. Remain calm.
Here are a few charts…
S&P 500 Index ETF (SPY) 15min
Up close and personal.
S&P 500 Index ETF (SPY) weekly
Wider view so you can see how I drew in the lines.
Dow Jones ETF (DIA) daily
With reversal targets.
By the way, someone called my charts “scattered colored uncooked spaghetti” this week…pretty funny. I prefer Chutes and Ladders.
The broader market is bringing most everything down with it as expected. This is an interruption in normal price action. Unless there are larger problems lurking out there we should see a reversal somewhere around DIA 241 which makes sense as a 50% retracement is pretty normal.
Off to the zoo,
Don