This is where selling pressure could really ramp up!

by Kimble Charting

Even though stocks have been weak of late, breaks of certain price levels could actually trigger much more selling than stocks have seen so far.

This 4-pack applies Fibonacci extension levels to the S&P 500, Dow, Nasdaq 100 and Transports. Each of these indices hit key extension levels earlier this year at each (1), where strong uptrends looked to have potentially ended.

READ  JPMorgan’s Dimon Says ‘This Boom Could Easily Run Into 2023’

Each index is now testing the bottom of 2018 trading ranges and long-term rising support at each (2).

READ  Pelosi Could Personally Profit From Biden’s Infrastructure Plan

If these multi-year support lines are broken to the downside at each (2), look for selling pressure to increase from what we have seen of late!

 

 

510 views

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.