Hello Everyone,
Quick Note: Yesterday SPX had a gravestone doji candle which often leads to further downside. Today, the SPX drifted lower (after an early bounce failed near the .618 Fib which corresponded with a backtest of the small broken channel shown on the smaller time frames). The real action came after hours (see blog posts) with AMZN plunging down over 20 percent (on very weak Q4 guidance) and then AAPL with initially sold off to as low as 137 but then rebounded back to where it closed today around 145. I posted ES support zone 3755-75 which found buyers (low was 3758) and currently is trading at 3795. Wild action indeed.
Not to be slighted, some big names in the Dow (CAT HON MCD) all reported good results and were rewarded with higher prices this morning - this put a strong big in the Industrials.
Level to level trading here as this bear market rally unfolds. Lately, we have see a rotation form Tech (especially Big Tech) which has helped stabilize the indices.
Please take a moment to look at the trade ideas.
