STI: Fasten your Seat Belt! Storm Ahead!

  • Post author:

STI has been holding well for the past few days. Is STI consolidating for the next bull run or quiet before the next big storm? Let’s look at the three key indices…

Dow Jones Industrial

 

S&P500 ETF (SPY)

NASDAQ

What commonality do we see?

  • Head and Shoulders Pattern
  • Once the neckline is broken, sharp correction happens within one to two months.
  • All 3 key indices chart pattern are similar.
  • The LATEST Head and Shoulders has been formed and the neckline has been broken. Can you see what is coming?

 

Let’s look at STI. Is the chart look familiar?

Someone will tell me “Hey! The Head and Shoulders has not been formed on STI yet!”

True! But my reply is “Do you think STI can escape from this storm and go on the bull run?”

STI: FASTEN YOUR SEAT BELT! STORM IS COMING!

Bull or Bear supporters, feel free to comment!

 

 

Continue ReadingSTI: Fasten your Seat Belt! Storm Ahead!

SNP500 ETF (SPY) – This is it! Shorting Time!

  • Post author:

I have been waiting for a right time to short the S&P500 ETF (SPY) and finally I found clear signals to short this ETF by buying PUT Option.

Bearish Signals

  • Evening Star candlestick pattern.
  • SPY was unable to break the 200D MA resistance and bounced down.
  • 20D MA is coming down very steeply to cross 200D MA.
  • MACD shows Bearish Convergence.
  • RSI and Stochastic started to reverse and head down.

I am expecting SPY to retrace at least 40% during this correction and my target price is $101.5 (38.2% Fibonacci Retracement Level).

Continue ReadingSNP500 ETF (SPY) – This is it! Shorting Time!