Potential bearish signal on the S&P 500

7 באפר׳ 2020

One the areas technical analysis traders were watching is the .500 Fibonacci retracement level from the February highs to the swift sell off lows in the middle of March. Today's rally did come close to this .500 level and was met with quite a bit of selling. Today's price action coupled with a shooting star candlestick formation created a bearish signal. We will have to look for confirmation tomorrow and the coming days to see if this is a reversal of the recovery and attempt to retest the March lows.