"Live by example rather than advise as to what to do!"The purpose of this blog isn't really to make a bunch of stock market predictions so that one can blindly follow without having to learn a thing and worse yet not be accountable for their bad trades. However, credibility will make or break anyone's reputation so I feel the need to follow through on my trading analysis. Yesterday, I stated that a close below yesterdays low (1677.89) on increased volume would be indicative of supply coming into the market since yesterdays low volume small range price bar represented lack of demand at resistance. Lo and behold that is exactly what we got today. If I was a betting man and was looking for a low risk entry then maybe entering a short trade on the SPX at the close today with a stop loss at yesterday's high (1684.51) and a profit target at the next level of support (1654.1) might have been a prudent choice. But hey, I'm not a investment adviser and legally I'm not allowed to provide advice because someone might put their life savings in a trade like this, mismanage it, lose everything and then sue me because they didn't do their own due diligence (if they even understood what that meant). I'm just another talk head sticking to my trading rules and my proverbial guns. Consistency is paramount in trading. Let see how this plays out. Please hold the applause until price hits support. If we break above resistance then I will simply delete this post and maintain my perfect record of 0 for 0.
Below is the daily SPX chart showing the evidence!
Thanks for reading