Watch to see if we get a bounce at the 50EMA on the SPY ($102). Another trend day down today. Market breadth was bearish the entire day, yet there were times I found myself fighting the trend.
The first 30-minutes of the morning SPY based at my support pivot before failing. That big freakish candle at 10:01a.m. was ominous indeed.Watch the first hour tomorrow morning to see if any buying is triggered. Check to see if the 30-min SPY chart puts in a momentum buy divergence.
Watch for a potential test of $104 tomorrow as that is within today's value area ($103.50-$104.00) and is also the last hour's high (day after a trend day down look at the last hour's high as good resistance).
The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at firstname.lastname@example.org
I am always open to questions, comments, or suggestions on how to improve this blog.