F01536

SP500 RSI 14 multiple bearish divergence

Corto
F01536 Actualizado   
SP:SPX   El Índice S&P 500
RSI 14 cannot follow the SP500 record highs... This is a clear sign that the uptrend is exhausting and reveral is coming.

Yesterday record bar also closed near the lows meaning that this SP record was more an opportunity to sell rather than keep pushing higher.

I have played this trade with SPY put 287 - 28 Sept @3.95
Comentarios:
I was quite surprised that stock would still rally despite the RSI large divergence with two tops not while RSI went lower and lower as shown on the graph. Confidence was high with the close of 21, 22 & 23 August which were near lows...

This is the surprise of the stock markets ! That is why i play with options because it gives me a month more to see the decline...

The 8/27 gap should get closed soon hopefully...

This trade won't be a big winner, but i'm confident we can get at least our purchase price back :)
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