On occasion I like to use traditional technical tools in conjunction with the GoNoGo Indicators. When key levels are apparent it adds weight to analysis.
Previously we noted that the weekly chart could help determine the next major move for the SPX. We saw how for the last several weeks it has been finding resistance at the zero line (grey arrow).
For the rally we have seen off the lows in March to continue, we need to see momentum finally turn positive.
Until that happens the long term trend is still down. This week, price has flirted with the Fibonacci golden ratio level, retracing 61.8% of the fall since the high in February. If price is rejected at this level, the GoNoGo Oscillator will likely fall negative again and the GoNoGo Trend indicator will remain bearish as price moves lower. Click here ...