S&P 500 at Crossroads: How You Might Trade It

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The S&P is at a crossroads. If I see acceptance below 741 (cash basis) in the form of a bear bar (close no higher than 1/3 of the range from low, open no lower than 1/3 range from high), that will be enough to suggest that we have a downside breakout. The first target will the Maximum Extension at 641 (basis cash). Acceptance below that provides a target to 370 to 294. That’s a wide range and I expect to narrow it down if and when we approach it...

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