Angle of the January-April Bull Rally Is One of Many Red Flags

6 de abr. de 2019

SPX has trended at a 57 degree angle since the 2008 financial crisis. While trend line theory suggests any stock above a 45 degree angle is troublesome, perhaps the SPX is an exception. However, the current trend we are witnessing is at a 67 degree angle, suggesting a significant pullback is warranted. Take this with the global fundamentals (slowing Europe, slowing China) and oscillators which indicate overbought, SPX is probably in for a bit of a healthy pullback.