Stocks Rollover

Today 04/22/21 the S&P 500 (SPX) came within eleven points of making a new all-time high before turning down sharply.  Neither of the other  two US main stock indices, Dow Jones Industrial Average or the Nasdaq Composite were able to make new all-time highs.

Today may have been the  bulls last gasp to keep the bull market going.

The daily SPX chart courtesy of BigCharts.com illustrates momentum messages.

The  SPX price low today was above the low recorded two days ago and closed today’s session  almost unchanged from 04/20/21. Daily RSI was below its 04/20/21 reading – a bearish divergence.  

MACD line have a bearish crossover and the Histogram has gone below the zero line.

Traders are  short  50% non-leveraged SPX related funds from the SPX open on 04/12/21.

If  the SPX moves below 4114.82, initiate an addition 50% short position in non-leveraged SPX related funds.  For this 50% position use  a move above SPX 4191.31 as a stop loss.    

Published by Mark Rivest

Independent investment advisor, trader, and writer. Articles have appeared on Technical Analysis of Stocks and Commodities , Traders.com Advantage, Futuresmag.com, and Finance Magnates.

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