SPDR S&P 500 (SPY)

[Sean Portman]

Now that I know you trade the futures on the es mini, I want to explain in a bit more detail what I was saying.
And since there many that can’t keep up, I’m going to be a bit detailed and visual.
The sma200 for the spy and es are in different location because the es futures trade 23 hrs a day. Pink is 200 red is sma50 and blue is sma20. Have have some smaller ones I use as a in chart macd kinda pre signal to watch for a buy, but has nothing to do with this.
We’re going to be going backwards and the timeframes and the frame is found at bottom

In this chart which we all know, we can see what this fall has done is brought the price closer to the indicators or we can look at it as the indicators up closer to the price. That’s support. So now if we hit the highs again, indicators are further up. More support. Blue is prior range, red is current.


In this chart we can see that through the night, the trading above the sma200, changed its ratio to flat. Even in after market close hours, and price falling, it’s staying flat. Barely moving down. The ratio shows support. Therefore one can assume that the price coming down is simply bringing the sma50 (red) to the pink to prepare to climb. This is the tip of the bull flag before it pops up. Could the price go below and drag the indicator down more and continue down and bad news cause more problems? Absolutely. This is not a guarantee. But the chart is at support in my eyes. It’s simply preparing to climb. To deal with the 1 hour and 4 hour and other longer term indicator frames. The market cannot sustain a climb with the indicators so far apart. It could climb, but not a sustained long term like we’ve had Since March. The blue arrow represents presumed direction of sma200 if price doesn’t stay below sma200 price value. The red indicates the presumed moves of the sma50 and correlating with being just above the sma200 and being at a manageable parabola angle. The black shows what to expect the indicators to look like for a sustained move, thought the steepness is awful.


In this one, this is pretty straightforward. This 15 min chart simply shows in the black a good move that went up too high and was not sustainable. Therefore a leg down or 2 is needed to simply align the indicators back to order. Plenty of money to be made at many different locations. And the smaller the timeframe the more waves


This one I posted yesterday and doesn’t cover movements from overnight es trading. We can see the work done


There’s more. But it’s taken longer to post and daddy duty calls. But this should be enough.