📊 SPX Bearish | Early Signals (4H, Daily & Weekly TF)

This is how the SPX closed yesterday the 4H timeframe:

➖ Drop below EMA10.
➖ Multiple GAPs to fill.
➖ Rising bearish volume.

On the Daily timeframe we can see the biggest bearish daily candle in months.
Each time such a candle shows up it starts a new bearish wave/correction.


On the Weekly timeframe the SPX is red, this is an early signal because the week is not yet over.


➖ The SPX closed green seven consecutive weeks. This is the first time this happens since January-February 2019. A red week after such magnificent momentum can signal the start of a correction (confirmation needed-early signal).

The weekly RSI peaked late July, producing an almost 5 months long bearish divergence with the SPX.


➖ There is also a long-term lower high; current session vs ATH (Dec 2023 vs Jan 2022).


This weekly session upper wick reversed right at the ATH session close, a few points shy of reaching the ATH.


Conclusion

We have one more day before the week closes.

➖ Closing red this week can mean the start of a multi-months long correction.

➖ If the action reverses and resumes upward, there is no limit as to how far it can go and a new analysis will be needed.

➖ These are early signals...

Thank you for reading.

Namaste.