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Sunday, April 08, 2018 9:56:20 AM
Weekend Analysis by Amateur Investors
By: Amateur Investors | April 7,
2018
From a historical perspective the S&P, in terms of "real dollars", is still way above the top of its longer term upward channel (red line). In fact it would take a 15% drop, from current levels, to get back to the top of the channel which is around the 2200 level.
Meanwhile, as I have alluded to before, each time the S&P, in terms of "real dollars", has risen above the top of its upward channel significant corrections have eventually followed (points A to B). So the question is will history be rewritten or will the past be repeated?
As far as the near term, for the past two weeks, the S&P 500 has been hovering near its 200 Day Moving Average (green line) and tested it again on Friday.
Meanwhile, if the S&P 500 drops below its 200 Day MA and previous low at 2533, the next level of support would be in the 2466 to 2438 range. 2466 is the 38.2% Retrace from the recent peak while 2438 is along the 400 Day MA (blue line).
http://www.amateur-investors.com/AII_Weekend_AnalysisApril_7_18.htm
• DiscoverGold
Click on "In reply to", for Authors past commentaries
By: Amateur Investors | April 7,
2018
From a historical perspective the S&P, in terms of "real dollars", is still way above the top of its longer term upward channel (red line). In fact it would take a 15% drop, from current levels, to get back to the top of the channel which is around the 2200 level.
Meanwhile, as I have alluded to before, each time the S&P, in terms of "real dollars", has risen above the top of its upward channel significant corrections have eventually followed (points A to B). So the question is will history be rewritten or will the past be repeated?
As far as the near term, for the past two weeks, the S&P 500 has been hovering near its 200 Day Moving Average (green line) and tested it again on Friday.
Meanwhile, if the S&P 500 drops below its 200 Day MA and previous low at 2533, the next level of support would be in the 2466 to 2438 range. 2466 is the 38.2% Retrace from the recent peak while 2438 is along the 400 Day MA (blue line).
http://www.amateur-investors.com/AII_Weekend_AnalysisApril_7_18.htm
• DiscoverGold
Click on "In reply to", for Authors past commentaries
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Your Due Dilegence is a must!
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