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Bear Red Flag?

Discussion in 'Trading' started by Scataphagos, Apr 21, 2022.

vanzandt
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Scataphagos said:
The SPX has today "tested the 100 day MA from the underside while the slope of the MA has turned down". This is technically referred to as a "back test" or "back kiss". Technical traders (you know, "Price TA"?) have sold into this level. We'll just have to see whether or not it sticks.

For the market to be/remain bullish at this time, this level absolutely needs to be taken out and then hold above. View attachment 282823

Here's a classic example of why "Price TA" excludes volume from consideration. We won't know the volume for this "daily bar" until the close. Therefore.. volume is lagging, regardless. The important action was AT the Moving Average... volume was irrelevant.

KISS, baby!
More...

Good call.

#11 Apr 22, 2022

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