SPX Overbought - FOMO - Fib .382 REJECTION SHORT

The operating theory behind a pivot rally is that once the Fed stops raising rates, gamblers have a period of time to enjoy one last melt-up rally before the wheels come off the bus due to rate hikes. It never enters their minds that the melt-up already occurred and now they are sitting in a bull trap.

The year-end melt-up was a bust in both 2007 and 2008 but never mind those inconvenient facts.

Next week PPI and QT and $40Bill in New Debt -- Will NOT make this market happy

Komentarz:

SEE FUTURES MAKING THIS MORE CLEAR = Interesting how FIB lines stay constant no matter what start or ending point you use
1. The Fib from Jan 4th high calls this the .382 Resistance line
2. The Fib from Aug 16th high calls this the .618 Resistance line
3. They BOTH LAND on the 4000 cash - 4030 on the FUTURES
Note the declining volume the higher she goes
Notice how the EMA CLOUDS mark key TURNING points marked with circles as it rose into the cloud
EMA Cloud where areas are shaded between two desired EMAs. The concept implies the EMA cloud area serves as support or resistance for Swing Trading 5-12 or 5-13 EMA cloud acts as a fluid trendline for day trades. 8-9 EMA Clouds can be used as pullback Levels –(optional). Additionally, a high-level price over or under 34-50 EMA clouds confirms either a bullish or bearish bias on the price action for any timeframe

Komentarz:

Shorted /ES twice yesterday - DEC ES at 4001.1 and again added at 4003.7 - Swing Short - HOLDING

Komentarz:

4000 is the wall - RETOUCHED the /3995 on the futures this a.m. Added some /ES 11/25 and 12/2 puts - Notice how it follows the fan line down see the attached /ES IT IS CLEARER ON THE FUTURES CHART --ACCOMPANYING THIS BELOW -
FIBS collide - .0168 and .0382 Turning point SPX/US500 SHORT