SPX coming into the election week looking rough as we just broke a long outstanding bullish trend line that may take the SPX to its recent low of $3209. I personal do not believe that we will break our first floor of resistance on its first try but elections and the "Big tech Armageddon" may drag this lower. This week will be extremely volatile and we will see how the priced in "Biden" win levels will hold.
Reasons for Bearish move:
1. Elections are coming up Tuesday being the biggest and most controversial election yet.
2. Long time up trend line has been broken and could be possibly be heading lower
3. Big tech is being hit and being one of the biggest market movers the "FANG" group if goes lower will drag the SPX down as well.
4. Double top pattern looking quite valid.
Preparation:
If you are looking to capitalize on the markets dropping, look into inverse or bear SPX and DOW stocks.
Reasons for Bearish move:
1. Elections are coming up Tuesday being the biggest and most controversial election yet.
2. Long time up trend line has been broken and could be possibly be heading lower
3. Big tech is being hit and being one of the biggest market movers the "FANG" group if goes lower will drag the SPX down as well.
4. Double top pattern looking quite valid.
Preparation:
If you are looking to capitalize on the markets dropping, look into inverse or bear SPX and DOW stocks.
