EUR/USD 1.16209
-0.410%
Gold 4545.67
-2.292%
Oil 100.978
3.282%
USD/JPY 158.766
0.243%
GBP/USD 1.33180
-0.615%
GBP/JPY 211.449
-0.370%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Teslas US website shows that the price of the Model Y Performance All-Wheel Drive version in the US has been increased from $57,490 to $57,990.Teslas US website shows that the price of the Model Y Long Range Rear-Wheel Drive version in the US has been increased from $44,990 to $45,990.Teslas US website shows that the price of the Model Y Long Range All-Wheel Drive version in the US has been increased from $48,990 to $49,990.On May 16th, European Central Bank (ECB) Governing Council member Stournaras stated that a small interest rate hike by the ECB could curb inflation without causing economic damage. Even if the inflation rate is significantly above the target level for a period of time, as long as it is temporary, future tightening of monetary policy should be more moderate. This would both curb further inflation and avoid excessive shock to economic activity. The duration and intensity of the energy crisis, and its transmission mechanism to the real economy, will also determine the ECBs response. The ECB will continue to closely assess all available data and is prepared to set policy rates at a level consistent with maintaining price stability in the medium term. This typically dovish official emphasized that there is currently no strong evidence of a second round of inflation, but he also warned of rising uncertainty, as damage to energy infrastructure in the Gulf region could prolong inflationary pressures in the medium term. Extended delivery times and rising input costs indicate that supply chains are facing increasing pressure.May 16th - Despite geopolitical tensions and a flood of synthetic diamonds, Zimbabwes main state-owned diamond miner plans to produce 5 million carats of diamonds this year, up from 3.8 million carats in 2025. Douglas Zambangor, CEO of United Diamonds Zimbabwe, told lawmakers in the eastern town of Mutare that the countrys diamond industry has experienced a more severe downturn than the international market due to a series of local problems. While international rough diamond prices have fallen by 26% to 35%, Zimbabwean diamonds have plummeted from a peak of $79 per carat to $22 per carat due to product mix issues, geopolitical tensions, synthetic diamonds, market collusion, and an unfavorable sales framework. The international diamond market remains sluggish, especially for unique rough diamonds, with prices projected to range between $22 and $34 per carat by 2026. In contrast, other producers are averaging $100 per carat for high-quality rough diamonds.

S&P 500 Could Tank Another 14% As Wyckoff Distribution Pattern Is Unfolding

Cameron Murphy

Apr 25, 2022 10:20

Last week, the S&P 500 tried to reverse and rally above the resistance level at 4500, only to be met with a fake breakout on April 21, 2022, which was a Wyckoff change of character bar (which also occurred in gold and crude oil, as seen in the video) to begin the downswing.


Trading derivatives exposes your cash to a high degree of risk, and you should only trade with money you can afford to lose.


Trading derivatives may not be appropriate for all investors, so make sure you understand the risks and get independent advice if required. A Product Disclosure Statement (PDS) is available on request from our offices or may be downloaded from our website. It should be read carefully before engaging in business with us. Raw Spread accounts have spreads as low as 0.0 pips and a fee of $3.50 for $100,000 moved. Spreads start at 1 pip, and there are no extra commission fees with a standard account. CFD index spreads start at 0.4 points. 


This site's content is not intended for inhabitants of any nation or territory where such distribution or use would be prohibited by local law or regulation.

Structure Analysis of the Wyckoff Distribution Pattern for the S&P 500

After the upthrust after distribution (UTAD) event in early January 2022, followed by a fast selloff as a sign of weakness (SOW) in late January 2022, distribution in the S&P 500 has been expressed since the topping pattern created in November 2021. For the Wyckoff event, see the graphic below:


Since the COVID-19 low in March 2020, the indicator of weakness in the S&P 500 has acted as the greatest down wave, signaling a harm to the uptrend. The range bound situation between 4200-4600 was characterized by the selling climax low on January 24, 2022, and the automatic rally (AR), which was a technical rally generated following an oversold position.


Because of the indication of weakness as a consequence of the distribution structure in late last year, the directional bias for the possible trading range as it was folding was negative. Furthermore, as explained in the film, the stock market breadth also provides negative signals.


The strong rally that began in mid-March 2022 resulted in a Wyckoff upthrust (or false breakout), which was followed by an increase in supply in the down wave, indicating additional weakness for the S&P 500.


In the S&P 500, there is a bearish signal.


Before the strong selloff last Thursday and Friday, watch the video below to learn how to detect the bearish signal based on the Wyckoff upthrust and the bearish volume pattern.

Price Prediction for the S&P 500 Using a Point-and-Figure Chart

While the S&P 500 remains in a trading range of 4100-4600, the directional bias remains negative unless otherwise shown. The price objective for the S&P 500 is projected using a Point and Figure chart based on the likely distribution structure in the trading range as it unfolds, as seen below:


If the S&P 500 breaks below the support at 4100 set by the swing low in February 2022, and then fails to rise above 4280, a selloff might occur, with the lower goal being reached.


According to the point-and-figure chart prediction, there are enough reasons for the S&P 500 to hit 3650, a 14 percent loss. In 2020, this was also the prior support level when the accumulation structure emerged. If it happens, this may be the bottom that the bulls are looking for.


To defy this bearish scenario, the S&P 500 must reverse its downtrend and recover above 4400, 4500, before committing above 4600 and testing it with a small retreat. Otherwise, the S&P 500's directional bias remains to the negative.


Despite outperformance in crude oil and gold futures after the Wyckoff change of character bar appeared on April 21, 2022 in the S&P 500, prominent industrial groupings such as oil and gas, gold miners, commodities milling, agricultural chemical, coal, and others have witnessed a significant selloff.


This shows a slowdown, if not a complete reversal, among these main industrial groupings. Ultimately, despite the fact that the S&P 500 has only down 11% year to far, this is still a stealth bear market, with several equities already down 50-80%. Visit TradePrecise.com to get free stock market updates by email.


Suggestion