SPDR S&P 500 (SPY)

[Fox13]

The inflexion point of the curve (which this time is a whole zone of congestion) still projects forward a strong support, as attested by the bouncing of the index.
I take this opportunity to post a brief commentary of this chart, since Gleno asked me to do so ( this is not intended to patronize anyone, a and it is not for Blasher). If one forgets about the geeky math stuff marked on the chart, what it shows is that before that zone the curve was like cup and after it it was more like forming an inverted cup. This means that it changed “concavity”. This change, especially when it is marked by a congested delay (decision taking time) suggests that the psychology of the moment is also changing: the bullish mentality is now progressively buffered in time. Now, we can represent the rest of the ascension not as a line but as a curve (maybe a parabola). This curve dissolves itself into an asymptotic evolution. When it is clear that it will not be violated there is only one solution, also enforced by oscillators: a down arrow.