Every long term chart such as the SPX 500 or Dow Jones has the same historical factor. Once a trend is broken it must retest the support line to decide if there will be a new trend or not. So as we can clearly see in the chart the support was broken. We must retest the support line! Now we will have two factors for the long term. However it is bullish in the medium term.
1. If we break through it the support line shall become resistance.
2. If we don't than we can officially say bearish trend has started.
1. If we break through it the support line shall become resistance.
2. If we don't than we can officially say bearish trend has started.
