9/20/19 note: No activations today, $SPX once again tested our daily bull level at 3019 and was rejected. This time, the trendline that has been supporting the market was breached on a closing basis to the downside. Add to this the fact that we are entering the weekly time nexus we have been writing about for weeks. Then add in the fact that we are entering a second weekly time nexus which is the one year anniversary of the major decline that ended in December 2018 (21 September 2018 was the year’s high before it rolled over). And all of this time action is taking place at the intersection of time and major overhead resistance (listed below).
What all this ^^ tells us is its decision time. The market is going to have to lay its cards on the table soon. While the market makes up its mind, our job is to watch and wait. Here at TPR, we do not trade on anticipation which means when the market does not activate any of our levels, we do not trade. This requires patience. Lets see what the market decides to do. We had a monthly time target in July, which did end up being a high (3028) that has not been breached for almost 2 months. That said, with no new highs for almost 2 months we have not seen a monthly bear level activated either. What we have seen is chop.
With the market banging its head against major resistance and a weekly time target upon us it would appear that we will see some kind of movement soon. From the perspective of time, we have gone up into this weekly time target which would suggest the opposite afterward. Seasonal price action would also suggest downward bias on the other side of this target. That’s what time says but time has to be confirmed by price. We get price verdicts through bull and bear activations. Until we see another activation, we will do nothing but watch and wait!
Have a great weekend!
**Caution**
Major Harmonic Resistance Level: 3044.44
Major Fibonacci Extension Level Resistance: 3047.34
Critical Monthly Support: 2635.10, 2465.41, 2418.59
Daily
$SPX Daily Bull Level
3019
$SPX Daily Bear Level
2836
Daily Reaction Risk Target Zone: N/A
Weekly Reaction Risk Target Zone: N/A
Monthly Reaction Risk Target Zone: Bear 2585-2611
*****This Blog is strictly for informational and educational purposes only and should not be relied upon for any reason.*****
