Indice S&P 500Short
SPX - October update
Previous analysis's
October 1 -
Sept 21 - pre-warning of the rising wedge
Hello Traders and Analysts,
Breakdown:
1. Note
2. Contents
3. Research breakdown
4. Education recap
5. Information on Lupa.
A Note before reading - this is a forecast analysis - based upon our trading strategy. This is tagged short, due to purchasing further increments upon imbalances.
Please do not take this as face value and conduct the relevant investment strategy to successfully trade the probabilities. However, note - the overall trend is bullish.
Master Key for zones
Bearish Channel upon a diagonal forming?
8Hour time frame.
Not looking trade this pattern as yet, due to the fact, the channel upon the higher time frames, looks to create a high probability of rejecting the 4400 mark and creating a further high.
However, keep in mind this scenario will form an opportunity for short term traders.
See below for the measured update to the 8-hour rising channel. You can look for a test, retest break sell - which is known as a
The Daily chart shows us a steep wedge formation - just like the three day chart.
Weekly Chart
The Fibonacci from the swing low - to the top of the market, which created our new "0" as the new all time high part of the structure.
The Continuation of the weekly imbalance had created a new area on the weekly, and bi-monthly timeframe - which offered a 0.236 Fibonacci retracement, indicating that the buying imbalances are still present. [This is now the weekly zone to add long positions].
Now the -0.27, -0.618 extension targets are reached.
The Wedge channel had begun and created a very strong channel with an effective structure of the sellers attempting to make an imbalance. The channel has now provided areas where price can pivot to.
The monthly has a future strong imbalance formed.
The three month indicates where price can be used for buying activity* So long as price reacts to the 61.8 & 70.5% levels.
See the Pathway where price can take us, using the probability of a bearish imbalance formation.
Chinese situation:
A quick insight to how the Chinese market works
The chinese property is leased for 70 years from the government who will be brought up by Real estate companies who will design and pre-sale units to investors, who will buy off plan using deposits.
The cycle of funds will allow the developer to fund the next, complete or buy further leases for the next project, leaving a debt cycle
Referring to China A50 USD - the FTSE China 50.
Collapse of Evergrande
Regulators have warned that its $305 billion of liabilities could spark broader risks to China's financial system if its debts are not stabilised. This will have ripple effects upon the US, Australian market relating to commodity imports from Australia with Copper, Iron has hit these commodities with creating imbalance sells upon the metals.
China - will the CCP allow Evergrande to default?
"Evergrande's woes also pressured the broader property sector, with Hong Kong-listed shares of small-sized Chinese developer Sinic Holdings (2103.HK) down 87%, wiping $1.5 billion off its market value before trading was suspended" Reuters.
Whilst the Chinese real estate market has large multiple ratio where the Chinese seek the real estate to be a wealth inidcator.
Despite the prices of price to income ratio as a whole in china the property price is 27.89x the avg income.
Expressed as a mortgage % of income is 223% of monthly income.
Source:
numbeo.com/property-investment/rankings_by_country.jsp?title=2021-mid®ion=142
What do you think about the current state?
Do you enjoy the setups?
*Professional analyst with 5+ years experience
*Focus on technical output not fundamentals
*Position and swing trades
*Provide updates where necessary - with new updated ideas tracking the progress.
If you like the idea, please leave a like or comment.
To all the followers, thank you for your continued support.
Thanks,
LVPA MMXXI
October 1 -
Sept 21 - pre-warning of the rising wedge
Hello Traders and Analysts,
Breakdown:
1. Note
2. Contents
3. Research breakdown
4. Education recap
5. Information on Lupa.
A Note before reading - this is a forecast analysis - based upon our trading strategy. This is tagged short, due to purchasing further increments upon imbalances.
Please do not take this as face value and conduct the relevant investment strategy to successfully trade the probabilities. However, note - the overall trend is bullish.
Master Key for zones
- Red = Three Month
- Blue = Monthly
- Purple = weekly
- Scarlet [Red] - Four day
- Orange = Daily
- Green = 8 Hour, 16hour
- Grey = 4hour
- Pink = 1 hour
Bearish Channel upon a diagonal forming?
8Hour time frame.
Not looking trade this pattern as yet, due to the fact, the channel upon the higher time frames, looks to create a high probability of rejecting the 4400 mark and creating a further high.
However, keep in mind this scenario will form an opportunity for short term traders.
See below for the measured update to the 8-hour rising channel. You can look for a test, retest break sell - which is known as a
The Daily chart shows us a steep wedge formation - just like the three day chart.
Weekly Chart
The Fibonacci from the swing low - to the top of the market, which created our new "0" as the new all time high part of the structure.
The Continuation of the weekly imbalance had created a new area on the weekly, and bi-monthly timeframe - which offered a 0.236 Fibonacci retracement, indicating that the buying imbalances are still present. [This is now the weekly zone to add long positions].
Now the -0.27, -0.618 extension targets are reached.
The Wedge channel had begun and created a very strong channel with an effective structure of the sellers attempting to make an imbalance. The channel has now provided areas where price can pivot to.
The monthly has a future strong imbalance formed.
The three month indicates where price can be used for buying activity* So long as price reacts to the 61.8 & 70.5% levels.
See the Pathway where price can take us, using the probability of a bearish imbalance formation.
Chinese situation:
A quick insight to how the Chinese market works
The chinese property is leased for 70 years from the government who will be brought up by Real estate companies who will design and pre-sale units to investors, who will buy off plan using deposits.
The cycle of funds will allow the developer to fund the next, complete or buy further leases for the next project, leaving a debt cycle
Referring to China A50 USD - the FTSE China 50.
Collapse of Evergrande
Regulators have warned that its $305 billion of liabilities could spark broader risks to China's financial system if its debts are not stabilised. This will have ripple effects upon the US, Australian market relating to commodity imports from Australia with Copper, Iron has hit these commodities with creating imbalance sells upon the metals.
China - will the CCP allow Evergrande to default?
"Evergrande's woes also pressured the broader property sector, with Hong Kong-listed shares of small-sized Chinese developer Sinic Holdings (2103.HK) down 87%, wiping $1.5 billion off its market value before trading was suspended" Reuters.
Whilst the Chinese real estate market has large multiple ratio where the Chinese seek the real estate to be a wealth inidcator.
Despite the prices of price to income ratio as a whole in china the property price is 27.89x the avg income.
Expressed as a mortgage % of income is 223% of monthly income.
Source:
numbeo.com/property-investment/rankings_by_country.jsp?title=2021-mid®ion=142
What do you think about the current state?
Do you enjoy the setups?
*Professional analyst with 5+ years experience
*Focus on technical output not fundamentals
*Position and swing trades
*Provide updates where necessary - with new updated ideas tracking the progress.
If you like the idea, please leave a like or comment.
To all the followers, thank you for your continued support.
Thanks,
LVPA MMXXI
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