$SPY TOP 20
Added 2024-12-22 20:11:59 +0000 UTCThe 50 Day MA showed how important it was once again this week by being the important battle ground area for bulls and bears, so it was not a surprise to see the price finish at this level as a cliff hanger leading into Xmas week.
Bulls did show up on Friday and a record number of positions were green across the board
I also highlighted that the RSI was at 32 now, which is on the cusp of Fear and Extreme Fear.....with the RSI being this low, it is not typical of a top as the flush down happened very quickly, I would be leaning on the side that one last rally is still possible before the market corrects, the $QQQ's strength also backs this theory too.
But the most important factor now for us is to observe how the price behaves at the 50 Day MA.
A clear rejection this week and we have no choice to expect a flush down to the 200 Day MA next at $552 and below this level is correction territory for me.
For now, I expect some fighting at the 50 Day MA on Monday and Tuesday.
