Tuesday, June 30, 2015

SPXS Add Opp

The SP 500 is running into trouble at the first opportunity this morning, this despite news from China and the Greek rumor mill that might have been looked for as short covering excuses......oh yeah there aren't any shorts. OOOPS.

click to enlarge
For those with less than 6 years trading experience, the action this morning is called a "dead cat bounce", stalling at the .382 retrace of the last leg down from Friday's high and the former support trendline.
There is potential for an extension on the next leg down ( if not this one), as the SP takes out 2025 and all buyers over the last 5 months are in the red.
As the 2 day move down was 66 pts , an extension might be expected to equal 1.62 (minimum) of that, or 107, targeting 1960 from todays high.




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