Rare Chart Pattern on $SPY

Yep, another bear flag:

SPY

Now, I didn’t think the other one on the left would break down and it did. But this one is special today because the other one did break down. Everyone sees the last one.

This is actually all part of a diamond:

SPY

This is far more directionally agnostic. It happens when two flags are next to each other at the same level (first chart above). Diamonds can be continuation, but they can also be reversal patterns.

If everyone expects flag #2 to do what flag #1 did, up we go. But if everyone thinks flag #2 can’t possibly do what flag #1 did because it just did it, then down we go.

I of course think this will we a reversal diamond. I could of course be wrong. But, it is what it is.


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2 thoughts on “Rare Chart Pattern on $SPY”

  1. The master panda guy predicts this is going up and it’s eerie how right he’s been since Januery, but I find his calls has to implement. Either that or I’m missing the tweets where he says the opposite that get deleted as events unfold in the opposite direction. Just weird. Him and Tictoc….

    1. Cause he tweets out of both sides of his mouth and does not really own a call. Look at like his last 3 tweets. I am sure he will clean it up based on ES moved

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