Selling has picked up momentum past few trading sessions and S&P is now below its 50 dma notching approximately -3% decline…So until price can recapture that average, hold and turn positive…any rally attempt is anticipated to be sold into by the BIG Boyz.
Short-term Trade Strategy will be short rallies at key zones (with proper reversal trigger)…Continue to remain disciplined in identifying high quality trade setups and following through on trading plan.
Prior Day High (PDH 1662.00 will be a key hurdle for the bulls to get back above at minimum..so until that happens, can look to short with 62’s as key marker. The current CPZ is 1652.25 – 1655.75…expect some initial response from sellers near that zone. Getting above that level is a must to slow down and turn down progression.
IF Prior Day Low (PDL) 1649.50 is violated with no recovery, THEN 1646 – 1643 – 1638 levels are targeted.
I am at peace with uncertainty. I know there is no such thing as a sure thing. I have no particular need to be right. I understand that being perfect has no place in trading. I am flexible. I am willing to change my mind. I am alert to scenario changes. I accept the information that tells me I am on the right track or on the wrong track.