SPI ...

  1. 5,823 Posts.
    Hmmm... acronym has raised the interesting combination of Fib study and MACD ...

    These work exceedingly well together and (tweaked for illustration purposes) as chart shows those trading the SPI would be deep in mega green if following just 4 recent signals.

    The MACD is a popular T/A indicator and usually shown separately for charting purposes ... don't be shy about dragging this indicator directly over your chart for a better view ... remember also (not shown) that MACD can also be used to show overbought/sold positions.

    As the chart shows, the SHORT entry signalled (180902) by text-book T/A convergence and supported by MACD. The bottom and bounce began around 111002 ending the SHORT and enabling the next Fib study.

    The SPI is testing the Fib(38.2%) for the second time, having failed the first and question marks remain for next week ... the important 3000 mark may be a level the market may want to savour awhile before deciding the next move ... up or down ... IMHO there are still some Bears about.

    Chart looks like this ...

    This is only my view ... read the red stuff.
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.