Here is a quick technical review of the daily chart S&P 500 e-mini futures chart. And its related symbols(NYSEARCA:SPY), (VIX), (NYSEARCA:SDS), (NYSEARCA:SSO) and other related markets (NYSEARCA:DIA) and (NASDAQ:QQQ).
- Bar Chart - lower high compared to last week (Point 2), forming Point 4 of a Wolfe Wave.
- Down trending channels. Hit resistance yesterday at a "measured move" repetitive channel.
- Formed another Bear Flag/Pennant - breakdown @ 1305.25. Remember last Friday was a breakdown of one of these!
- Anticipate returning back to trendlines it recently broke above.
- RSI - hit 50 resistance yesterday intra-day and is now trending back down. Anything below 50 is bearish momentum.
- DMI - bearish trend persists. Last three days was only a relief rally, within a bearish trend.
- 200 day moving average at 1273 - most times price bounces the first or second time it tests this. I think we've had that bounce. Now this time, the relief rally has relieved the RSI so its momentum coming back to 30 can crush down below the average.
- MONTHLY CHART RSI (not shown) has support at value 50, which is priced at 1233. Our target for Point 5 of the Wolfe Wave, a lower low. Area to cover short and go long, all the way back up to the Wolfe EPA target line.
- 6 more trading days, including today, before Greece has its vote on Sunday June 17th.
- Here is my previous commentary on the 240 minute Pitchfork & Wolfe Wave.
Disclosure: I am long SDS.
Additional disclosure: I am also short the S&P 500 E-mini futures.