The "S&P 500" is on the weekly chart making so many new highs that contrarian traders might perceive it as overbought as shown on the weekly RSI screenshot below.
weekly RSI on the daily chart
daily chart
I noticed intra-day some falling momentum, some key economic data is going to get released today (Tuesday) and we are now near the time where I thought the decline could start as shown on my last bullish chart (see related ideas).
Therefore I deem this worth to try a short with limited risk.
Currently: 2186
Short entry: 2190
Stop loss: 2196
1. Target: 2170
2. Target: 2150
Risk: 6 points to 2196
Reward: 20 points to 2170 (40 points to 2150)
P.S.
I came across this video recorded by Gareth Soloway who mentioned the fresh new weakness of some big US stocks on Monday. which I noticed,too
www.youtube.com/watch?v=QrX_qyZr...
weekly RSI on the daily chart
daily chart
I noticed intra-day some falling momentum, some key economic data is going to get released today (Tuesday) and we are now near the time where I thought the decline could start as shown on my last bullish chart (see related ideas).
Therefore I deem this worth to try a short with limited risk.
Currently: 2186
Short entry: 2190
Stop loss: 2196
1. Target: 2170
2. Target: 2150
Risk: 6 points to 2196
Reward: 20 points to 2170 (40 points to 2150)
P.S.
I came across this video recorded by Gareth Soloway who mentioned the fresh new weakness of some big US stocks on Monday. which I noticed,too
www.youtube.com/watch?v=QrX_qyZr...
The bearish trend I predicted has now started to grow. Today's low was 2174.5 after a failed dead bounce from the 2167.8 low, which failed to gain steam at 2186.9
And the weekly RSI now also shows a confirmed top with the RSI going first above the 70 value but this week falling back below this key value again: