Following Sunday´s post, here are some of my observations. It seems that finally rollover perios is almost done and things are gettin back to “normal” -if we can call it that way.
Still in a headline driven enviroment, I started the week working with a hypotesis for more downside
1240 is support, followed by the 3 gaps below, which are too strong to ignore and think that they would not revisited
It turned out that the scenario was confirmed and the SPY is currently sitting in the intersection of the 2 gaps why the SPY seating at the top of the second one @121.74.
I´m hereto looking at two possible scenarios, as most of the time:
a-) the move continues t the downside, speacilly due to the congestion of this are, added to the fact that there´s a very thin are below, denoted by the action of November 28th (almost a doji)
b-) the top of the second gap provides support for a bounce which could provide the opportunity for a small rally, at least for now