SPX is at 100% extension still see the whole move as bear rally

11 ago 2022

- VIX gave a long signal and short signal for the markets, same as we had on the 29th of July.

Tomorrow we have a directional change as well as Fri with clear low on the 16th. I would like to see a good move lower starting tomorrow or Fri and a gap down on Monday. Volatility spike on Monday supports my view on this possible outcome. And then reversal day on Tuesday with lower low in am and higher close then Monday to mark a temp bottom.

Im swing short both ES (under the water) and NQ AH's.
I did trade NQ and ES on the long side last night and woke up to some very nice gains, happy with seeing a good long setup last night. So my paper loss on the ES short was very well offset today, not counting every day day trading.
Im fine holding those shorts with no stop for now.

Can we extend, 100% we can if it wants too and my ideal target still seats at 4308-30SPX. Please note that we are supper close to my min target I had for second month now - 4225SPX (very close and I wont be upset that we wont hit it:). I didn't expect that we get there on a straight line with such low pullbacks, but we did. And I'm trapped with some swing ES short for second week now (which is fine with me as I day trade through the day with NQ and make all that paper loss back with both long and short trades, like I did from last night entry)
My downside targets are the same - 4012-28 and ideal 3992 and 3950SPX. All we need is to break 4125SPX

Important levels (on closing level) for tomorrow and rest of the week to watch are:

Support, Daily:
- Maj is at 4135 and then 4079 on closing level
- Air below 4079 all the way to 3860-70SPX and 3810-20SPX

Weekly:
- There is only one support on weekly level and its at 3636SPX

Resistance Daily
- Maj is at 4308SPX
- Air above 4308 all the way till 4460SPX!

Weekly Resistance is at 4385SPX

I will update NQ chart tomorrow, it was updated to those who are on my email list though.

Enjoy/Share/Like