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Financial Market Analytics Dashboard (FREE): https://tsp.live/fma-v2/
Assessment: I have been warnings the FMA that a major sell-off was coming given the vastly overbought readings, the lack of building support levels on the way up and the fact that the market is at an all-time high without any real data backing it up. It seems…that feeling has finally come home!
That’s the catch with the market though, it is all about the time. The Path Predictor Momentum table caught the turn on July 17th (table can be found at https://tsp.live/fma-v2/ and the link is above in every Telegram Trading alert moving forward). On July 18th, entering a short position at the open would have triggered at $552.42 and here we are looking like we will open between $510 and $515. The overbought readings in the Path Predictor Momentum table will likely start to shift to NEUTRAL from OVERBOUGHT, but the momentum will likely remain DOWN after today…and the short position will remain until the momentum column moves to NEUTRAL or UP.
SPY Path Predictor chart: https://sblk.io/s/zZvxCXI5SnhMUg
Should be an interesting day! Let’s see what we get!
Good luck in your trades!