Another flat open, and the stream finally convinced that we reached a short term top. When the $SPY failed the 143.17 level yesterday, I finally saw what I wanted. many names rolling over, breaking their own Fibonacci levels. To say the least that we will drop to the 140 level sounds foolish but very possible now. I expect us to get there in the next week, and have a nice x-mas rally before the 25th. On an hourly chart and 30 minute chart one can notice the head and shoulder pattern formation. Failure to hold the 142.27 level could lead to the formation of this pattern in my honest opinion.

$SPY 1st support is 142.26, 2nd support 141.50, and 3rd is 140.37 (a few cents from the 2nd Fibonacci Retracement Level).

$SPY 1st target is 142.71,, 2nd is 143.55 3rd is 144.10, and 4th one just for fun is 144.60.

Trade what you see not what you think.

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