$SPY TOP 20
Added 2023-05-01 06:16:19 +0000 UTCThe message has been clear here for the last few weeks and months, the bull and bear cases have not changed and I will comment on how the chart is reading as more information comes in. The price action moved very strong towards the end of last week and it was a big earnings week, I recommended on most charts to be cautious of taking risks going into this week.
Trading the $SPY during a big earnings week is something I would never recommend but some people can do very well from it but you need to be strict and disciplined.
The plan remains the same here, only when the bull case is triggered do I believe that the risks of this turning bearish have gone down drastically, this has not happened yet and the MACD and RSI are not showing bullish indications, especially the MACD, which tends to be more accurate in terms of trends. The price actions continues to stay below the top blue resistance line and on the outside of the bearish wedge.
For the Bulls, it has held the 50 Day MA and is likely to test the top blue resistance line this week and a number of big tech companies have really helped the bull case over the last week.
So What Now?
A number of big economic indicator reports are due this week and a very big earnings week to match, a lot can happen here, again I recommend to be cautious and wait for the confirmation of the bull or bear case. This group is a long term investing group, so there is never a rush to enter a position, evaluate the risk, use the charts and take your time.
