Tackle Today: Critical Support Looms
September 15, 2022
«Heed the Higher Low.»
Traders,
When the daily price chart gets messy, pros zoom out to the weekly. It cleans up the picture and reminds you of the levels that really matter.
If you do this practice on SPY, you’ll discover that $390 is becoming increasingly important. It was the location of multiple pivots throughout the year and has re-established itself as a critical support zone. The recent bounce was born on its shores, and Tuesday’s massacre has us closing in on another visit. The market’s near-term fate hinges on whether it holds.
If it does, the higher pivot low on the weekly trend remains intact, and the chances for an inverted head & shoulders pattern remain alive.
If it doesn’t, we’re headed for a retest of the June lows, and the weekly chart is back in a downtrend. Bears who missed playing the lower pivot high that formed this week should be eyeing a break of $390 as the next easy entry point.
Video Of The Day: Jedi Options – Bull Call vs Bull Put Comparison
In today’s Jedi Options, Coach Tyler compares #BullCall vs #BullPut spreads: when to trade one and when to trade the other.
Chart of the Day: S&P 500 ($SPY) Weekly Chart
If $390 fails, watch out below!
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