I had a bullish sentiment to begin with. i checked the SPX heat map and saw the majority was bright Green. I then analysed the daily chart first, the first thing i noticed that the current price was forming a bullish engulfing, but i knew i couldnt use that as a sign that price is going to move up, but it gave an indication that there was high volume in the market. i took a fib on the previous impulse on the daily and saw that yesterdays price retraced to the 61.8% but closed above the 50% level.
i then took a fib on the 4 hr chart and got 3401 as a 127.2% target.
i looked on the 1 hr chart and notice that price could potentially be moving in a channel, price was at the top of this channel and you would expect price to move to the downside if price was at the top of a channel, i then took a fib on the impulse leg in the channel and the 50% level lined up almost perfectly with the 3355.9 level o had previously marked as an important number. as a final confirmation i stepped down to the 15 min and took a fib on the candles consolidating at the top of the channel, and the downside target of 3355.93 lined up nicely with the 3.61% target.
my hypothesis is that price could retrace to the 3355.93 level before an impulsive bullish push to the 3401 target
i then took a fib on the 4 hr chart and got 3401 as a 127.2% target.
i looked on the 1 hr chart and notice that price could potentially be moving in a channel, price was at the top of this channel and you would expect price to move to the downside if price was at the top of a channel, i then took a fib on the impulse leg in the channel and the 50% level lined up almost perfectly with the 3355.9 level o had previously marked as an important number. as a final confirmation i stepped down to the 15 min and took a fib on the candles consolidating at the top of the channel, and the downside target of 3355.93 lined up nicely with the 3.61% target.
my hypothesis is that price could retrace to the 3355.93 level before an impulsive bullish push to the 3401 target