$SPY TOP 20

$SPY bulls were doing a good job before Thursday, they were able to hold up the price above the 50 Day MA after a number of tests and looked like they were about to survive the earnings storm and come out of it on the other side......but economic data, the Fed and some Mega Cap earnings all came together on Thursday and had other plans.

It was a barrage of negative market sentiment and both the $SPY and $QQQ sold off at a magnitude not seen since 2020.

Bursting straight down through the 50 Day MA support line and hitting $528.

I believe a retest of the 50 Day MA will still need to come, so there may be some green days during the week and some rotation so the plan remains the same here, a retest of the 50 Day MA at $543 is possible and if we get a rejection here then the price will start moving down as shown and towards the 200 Day MA at $500, which is a -6% drop from here which is not armageddon territory

I do not expect all of this to happen in one week, it will likely take weeks even months to complete, there is no rush here, the drop so far has happened over 2 weeks, there will be many people buying the dip.

While the price action is under the 50 Day MA and also rejects at this retest, then the corrective wave is the dominant case, whether we agree with that or whatever opinion we have on the economy, earnings or it being a presidential election year....the chart won't lie but our emotions will start battle against us!

If the bulls recapture the 50 Day MA then they are back in control, likely until $NVDA report and when the Fed Rate Cut, which is likely to happen in Sept.

I have trimmed my $AMZN position which I explained last week was the one position that concerned me, every other position I am happy to hold and buy at my target levels, I am not exposed in any other position.

$SHOP I have three buys in but we added between $50 - $55, so although we are not heavily green, I am happy to be even here and be able to add again at $49 if this level holds.

My Chinese positions will not be touched or my $ETH position.

Silver I will add to if the 200 Day MA is tested, otherwise I have a large position there right now.

Let's keep the exact same composure this week ahead as did for this week and we will manage the storm.

I have 3 Simulator exams starting tomorrow and ending on Weds night, I will be doing my best to upload as much as I can here but I am prioritising my exams.

If anyone will be wondering where I am between Monday and Weds then I will know that you haven't been reading my weekend updates and preparing yourself for the market ahead each week....so lets see who gets caught out on this in the chat group ha!