Overheated technicals are finally cooling down
The volatility spiked during the week, trading psychology was tested as anticipated, having a clear strategy and objective is key; these S/R levels are useful for the week ahead.
The inverted hammer seen yesterday for SPX was validated today, that makes total sense considering the following chart:
VIX
The daily candle suggested yesterday a decline for the volatility index today, and a subsequent bounce for SPX. The question is: will the bounce continue? More references to consider will be published in the Weekly Compass. Subscribe!
Based on the following table, DJI has to stay next week above $40,383, and so one for the following equities based on the blue column of the weekly levels.
Weekly S/R Levels