Don't pay dollar to keep 2 cents when wrong. Cut your losses quickly. Trade what you see, not what you think.
Joined Oct 26, 2011
719 Blog Posts

Giant Wall 2 resistance proves resilient

Just when we thought taking out the Giant Wall 2 (GW2) established back in October 2007 was a done deal, we are now getting slammed with another European conundrum.  S&P500 currently is printing a 17 points down or a negative 1.1% change.  Apply this 1.1% against the SPY’s close of $155.83 last Friday and we come up with $154.12.

If you look at the chart below, you can see the projected price of $154.12  (red arrow) is directly below Giant Wall 1 resistance ($154.94).   Notice that the 38.2% fib retracement is just a bit below the red arrow; it may mean some support there.


Can the Fed remedy this correction next week?  Will there be a huge rally waiting to burst thru the GW2?  Well, can it happens or are we simply exercising a self-fulfilling prophecy of topping out at major prior resistance?  Let’s not jump the gun yet; for price can still restore back to normalcy when market opens tomorrow morning   We’ve seen it happens before.  Until then, I’m going back to reading my book…

My 2 cents.

If you enjoy the content at iBankCoin, please follow us on Twitter


  1. Honolulu Trader

    “Could Cyprus Fiasco Occur In The United States”

    Long $TZA


    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • Zenhunter

      Thanks HTrader. Interesting article. I may join you on $TZA or even $FAZ if price action cannot recover from current downdraft.

      • 0
      • 0
      • 0 Deem this to be "Fake News"