Look for a failure of the price block highlighted, similar price action noted in the previous highs of 2000 & 2008.
We see the relative strength fade as price continues to rally creating regular bearish divergence, after the break of the trendline hidden bearish divergence develops as the RSI shows higher highs and price continues to fall.
2000 and 2008 were screaming at us to be short. Will 20018/2019 do the same?
52-week Moving Average displayed.
Short until a break of the All Time High proves us wrong.
Original idea by Jack
Original post to Tradrz members:
Bearish Divergence on the 1 day and 4hr. Something to be aware of moving into the week.
I agree with you but I think not now. The market is overvalued but we have to wait the inversion of the yield curve.. Before the inversion it is difficult to have a market crash. You have to think also about the fiscal policy by Trump. All companies are showing very good results.. The market could recovers the previous highs.. We have to wait before short sp500. BTW Ema 50 will tell us the way
TradrzHQ
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@berto.1986, I couldn't agree with you more Berto, although there have been some great shorts to play while we wait for more confirmation of trend. Thank you for such a well-rounded comment, much appreciated. Jack