SPY , today in premarket, retraced more than 331. Where is it heading now
If we look at the fib retracements drawn from high of 358.75 to 298.93 using the line charts extended to candlesticks to capture the low, it is at 50%. Also if we look at the gann angle covered from 298.93 to 358.75
298 307 316 325 334 343 352
It has covered 270 degrees from 298.93 ( used the whole numbers for convenience). So, looks like it has more down side. However, feel SPY may make a move upwards from 325 to 343 – 351 before falling further. There is a flat line resistance at 342.66 and is very close to the ichimoku base line.
For now looks like the first wave is done. We might see the second wave building up choppily and then we might have a long third wave down giving up all the gains built from 298.73.
Similarly, with tech stock through XLK, it looks like giving up all the gains built from 103 and is marching towards 100 and below. Right now, we have MA 100 at 98.70
What can we trade today?
Expecting a little bounce today. Not a long term bounce.
AAPL has reached 104 in the premarket Expect this to quickly get to 121 before falling further. Also, like the idea of trading directly SPY and XLK to be aligned with the market. CRWD may run to 138 in this bounce. AMZN in the premarket is at 2905. if it gets to 2890, which is lead span B, then there is a good chance of AMZN rebound ing to lead span A which is at 3140 range.
TSLA, with battery day tomorrow, first target will be 479 followed by 504. Max it could go to 534. As per weekly ATR, it is around 60 $. Since TSLA, closed around 440, we might see this touching 500 again.
ZM is reaching a critical area of 445. I believe it will retrace from here. As it bounced from 50% retracement, it can reach 87.5% which is at 448.
Wish you a profitable trading day !!!!