S&p 500 – Will S&P 500 makes a new higher high record. is it the end of bullish trend?

Overview

The S&P 500 is traded to the upside past week as POWELL’S comments raise rate cut . but negative RSI divergence may leads to turn lower or translate into consolidation.

Weekly Chart (more bullish trend)

weekly chart 14-07-2019

the S&P 500 is trading in upside trend confirmed by breaking the previous higher high level (2950) reached to 3000.63 last Friday. moreover more upside is expected to end the wave V and wave (III) as shown at the weekly chart to reach (100% -161.8%) extensions.

Daily Chart: {bullish wave ((3)) of (III) } is in progress

Daily chart 14-07-2019

Wave ((3)) is still in progress to the upside direction and this wave confirmed by breaking the previous higher high (2960.25)

breaking the previous higher high (2960.25) of wave ((1)) is confirming the continuity of bullish consequence and setting up the longest wave (3) which should reach to the (100% – 161.8%) Fibonacci extension of the previous wave.

4H Chart: (setting up for ABC correction)

4H chart 14-07-2019

the end of wave 3 in red color is preparing to be ended next 2 weeks but still the bullish side dominate the price direction. the following 1H chart will shows the target and exit areas for buyer.

1H Chart (Caution … Wave 3 setups for end, Wave 4 correction is very close to happens.

1H Chart 14-07-2019

Caution needs to be taken into consideration before buying, as you see in the 1H chart wave 3 almost is done, and a negative RSI divergence is exist .

Recommendations:

1- Wait till the correction finish and then you can enter long position in 38.2% retracement level of wave 3 and put your stop lose below 76.4% retracement level.

2- Don’t forget to calculate your position size before entering the trade.

Risk Disclaimer

Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

elliottwavelive

Expert trader integrate powerful of Fundamental analysis and news with distinguish of Elliott wave technical analysis for excellent trade setups.

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