The S&P 500 (SPX) put in a new low at $3,810 and bounced into the close on Friday. Now the question becomes if we can get a bounce to the 21 exponential moving average (EMA).
The SPX is trading below the weekly 21 EMA for the first time since COVID-19 started. This represents a large shift in trend and structure.
If we consider the bearish squeeze firing, we have even more reason to believe the path of least resistance could be to the downside.
In the video above, we’ll lay out where we’d like to short SPX along with other setups on our focused list like AAPL, TXN, and more.
Stay Focused!