Below is the chart of S&P 500(daily) and we seemed to have closed with an Inside Day. S&P is very precariously poised. We have three multiple bottoms right at the 20 periods MA and of course at the previous resistance now turned support line. So far the only resistance we have above is at approx 946 which is also the previous top and the 200 periods MA is also aligning with it!
Speaking of supports we are at one right now. The 20 periods so far has been comforting enough. Though we have broken the very short term trendline (marked in black) but one can take solace that our LH (lower High) is yet to be confirmed by a LL (Lower Low).
As long as we stay in the blue zone, we can attempt another dig at the 200 MA but if we slip into the red zone then only solace is at 50 MA at approx 862 and below that it’s straight to 800!
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