S&P 500 Index

S&P possibly reached its peak

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Good morning everyone. looks like futures are not looking good this morning as we see a 25 point loss so far from one day to the next. If you are bullish make sure to look at all possible bull traps as we see a possible evening star pattern forming in the daily time frame. Monday will for sure confirm if its the beginning of a downside trend. Todays price on Spx500 could fall to 3790 which would touch the 20 MA and the bottom of the trend started in November. As mentioned Monday will confirm if its only retesting that area as support or if it will break to start a downward trend. Be cautious of the MACD as well. In my time of trading I have noticed that when ever the MACD shows a consolidation, as I highlighted in purple, there is always a big jump or big fall. I would only recommend scalping this market but would not swing at the moment until further confirmation. Let me know what you guys think. Do not take my posting as trading advice, but please share with me what your thoughts are.

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