Alpha Capital Wealth South Africa Sp500

Daily view on Sp500 valid for June - July

Advance targets

Possible Adam and Eve top formation pattern

Descending triangle

We might dump / drop on Sunday / weekly open

Possible targets :

2935
2800

Spy bottom gaps

Spy closed lower than Spx

From what we have noticed is that whenever Spx closes above the spy close we have a sharp fall in prices on the open

Should history repeat itself we would see accelerated selling heading towards the rally start low around 2935

We have noted that was institutional buying due to the fed announcement regarding corporate bonds

That area should provide at least short term support with upside targets of Friday’s closing price 3009-3014-3040

We have also noted that we could see a retest of 3040 and Friday break down candle if we can find support above the 200 daily moving average

We have broken the March low trendline that has upheld the market since the covid crash

We have broken the weekly falling wedge pattern

We see an accelerated rise in covid cases world wide

Fear has returned to the market space

Should 2800 fail to hold we expect lows between 2700-2790

We will be bouncing but direction will lean bearish

Currently the weekly candle is a inverted bearish hammer candle

The monthly candle closes on Tuesday 30th June 2020 and is currently very bearish which will then lead to lower prices and things could accelerate to the downside as lockdown regulations increase globally due to covid

Technically

We are leaning bearish

We see further downside

Overral bias is bearish

We expect bounces up to $50-100 on sp500


I hope this helps you guys

Remember risk management is key

Do not over leverage

And only trade with money you can afford to lose

The current market conditions are not advisable for novice or junior traders

If this helped you

Kindly click the like and follow button

Happy weekend and happy week ahead