In a textbook exhaustion pattern, traders pushed the stock market indexes higher and then collapsed prices into the deeper support region.
This lasted well into the overnight session and just now traders are trying to lift prices off support.
For those of you using our trading numbers, note my commentary yesterday about exhaustion patterns carefully. We will discover more in the trading room on this topic.
The S&P 500 spread expiring tomorrow is near the average width at around 22 points at the 2795 strike leaving us 2777-2817 as our edges to watch for expansion or reversal.
If you consider yesterday’s top edge, you’ll see just how important these numbers are to watch for support and resistance today.
With divergence continuing, we can see long wicks so keep your eyes on daily and weekly support levels as bounce zones.Â
Stock Market Futures Update – February 26, 2019
Twitter: @AnneMarieTrades
The author trades stock market futures every day and may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
