Scanning for chart patterns in real time
Autochartist makes it easier to trade successfully with its tools that automatically identifies chart and Fibonacci patterns.The SPX500 index ended a holiday-affected trading session with a slight correction lower to the uptrend that was established last week. The possibility that the shortened four-day week could continue the trend higher (which dominated price action since August 31) relies on buying support above 1100.
After prices broke support at 1106.50, the Flag pattern that completed on the 15-minute chart reversed and traded lower to the Forecast area waiting between 1105 and 1103 (F). This short-term pattern breakdown should be seen as profit-taking, and not necessarily a trend reversal due to both the nearby Forecast support as well as the maximum ten-bar Autochartist Initial Trend reading, as this reading suggests a strong desire on the bulls’ part to buy into the move lower.
