The Long Investor

$SPY TOP 20

Added 2023-01-11 15:54:23 +0000 UTC

I am posting this to help the people who are concerned about tomorrow.

So what do we know, we know that Wave 2 can bounce all the way up to the blue line and still be valid, to go above that, it needs to break through substantial resistance levels, the first being the historical amber trend line and at the popular .618 Fib level a 396.63, I have set Wave 2 there because it is the first proper resistance, we know that it can go all the way up to the previous high and still be valid.

I believe someone was concerned about $405 getting hit, that is above the .78 fib, we know it is possible but will there be enough surprise from the CPI results to merit this?...we'll see.

Either way, I believe this still comes down next, I see nothing different from this Wave 2 than most other Wave 2's in a corrective move. Wave 2 always catches people and this is where professional traders make most their money from people jumping in, thinking we have a reversal.

If there is one thing I can pass to you, do not take gambles in Wave 2, unless you are an expert deciphering charts, if you are starting off, this is not the place to be risky, research Fibonacci levels and they will help your trading.

For us long term investors, this price action means very little to us, all we are looking for is a rejection at the trend line and we will continue sleeping well at night and sitting patiently for our buyzones to hit. This form of investing may seem slow but I can assure you the statistics are there to prove that over the space of a year and longer, investors continue to outperform day trading and we do a lot less work.