S&P500 Analysis

From the chart, we can see clearly, the price is not bullish, not in the Daily/Weekly/Monthly timeframe. Most will attribute it to the Presidential Election for causing investors to be on the safer side. But if using the same logic, a drastic event like COVID-19 can make the market drop that magnitude but recovered within a short span of time. Not predicting the election result, but if a Black Swan event does trigger will the market react the same?

To be honest, I do missed the COVID-19 bull run, I do have my fair share of losses going against the market. So to be objective in this case, if price break the Red Moving Average (EMA50) I will be wary of a extended downward movement. The market does not like uncertainty and we can clearly see uncertainty across all Assets Class, which means back to the old saying, Cash is King!