Hi. I want to show you two SPX charts, one for 4H and other for 2W. And tell you why I chose them, as well as how uncertainty can affect the price.
Left screen. Enough signs for a decrease. 1. Spin top. 2. Gap down. 3. Tenkan-Sen break. 4. Bearish divergence.
We can say that the next month will develop a downward movement. But in what larger situation is this movement embedded?
Right screen: In lifetime of most of us, SP500 did not make such long swings in the cloud such size. There are subtleties here.
1. Kijun-Sen has crossed Tenkan-Sen again. Candles over of lines. Kind of a bullish picture... But this crossing is inside the cloud. 2. Tenkan-sen is dangerously looking down and may well cross Senkou-Span B. 3. Senkou-Span A is looking downward, hinting at a possible downward expansion of the cloud...
The thinking is simple. If 4H chart has started a down movement, it is enough for a month or even 5 weeks. During this month, two candles down on 2W chart will cause the indicator lines form a cross with bottom edge of the cloud, and given timeframe it will be an ultra-bearish signal.
This is what I wanted to show. One timeframe can start a process on another timeframe. Given DXY strengthening, none of this looks rosy.