Ascending Wedge Break in SPY

Discussion in 'Technical Analysis' started by ShortSqueeze77, Apr 20, 2009.

  1. The S&P has formed a bearish rising wedge pattern(some are saying ascending channel) which you can see in the chart. The target for this pattern is the area in which it began to form, near 783. This level also stands very close to the 50% retracement from the high to the low. The first area of support to be considered is the 38% retracement near 800 in the S&P. This level may also serve as some type of psychological support as well. I will remain short in the short term, looking to piece out of my short and build a long position, as I believe this move lower will be only a retracement before the next leg higher in the markets. Any opinions?
  2. BT247