On Friday during the trading session, I note an intraday bear flag forming. Not long after I published that post, the market popped up and out of the bear flag pattern, putting shorts in a very tough spot. Of course, the move turned out to be nothing more than another head fake hell-bent on trapping/shaking out as many traders as possible. As you can see on the 15-munute SPY chart below, this morning the bears followed-through to the downside from Thursday’s selling, in spite of Friday’s respite or delay.
Unlike Thursday, though, today we have seen not a steady push lower all session, but instead a huge opening gap lower followed by several weak bounce attempts. Either way, the bears once again have the initiative and it is theirs to lose in the short-term. However, cracking below 1306/7 on the S&P 500 is going to be the real test if we are going to see a major leg lower instead of the usual “three steps forward, four steps back, etc.” type of summer trading chop.
Also note on this 15-minute timeframe that the 20 and 50 period moving averages are guiding price lower and acting as resistance. Watch them.
12 Responses to Intraday Look and Analysis: Delayed in Getting It
initiative “A” game right?
Chess, All kidding aside these posts are great.
Hah. Fixed it, thanks.
No, thank you.
notice oil stocks here top pick APA bullish volume on the daily
I think we go up from here. I am long aud/usd and oil futures
chess, love you stuff. can I make a suggestion for your daily video. I would be interested to know how the euro markets are doing similar to your daily recaps on $spy. Just a thought, not sure if TA works on euro markets
TA does work on euro market. I am just usually pressed for time. Thanks. I will try to work it in whenI can but I have to focus on U.S. mkt as most trade just them.
understood, thanks , just a thought
Chess, I have always been really happy with your posts and have been thinking about joining 12631. I currently trade mainly commodity, currency, and index futures. I do not trade corporate equities very often. Given what I have just said, do you think I would still benefit from your service and how please? Thanks a lot for all your hard work
Thanks, jason. I believe you would benefit because we have such a vast community of traders who trade different markets with different styles. I try to incorporate as much into my analysis when I can.
I won’t be buying equities and I won’t be buying Vermont syrup anytime soon.
As always, thanks for your analysis.