SP500 & Bitcoin - time to buckle up? 🎢🥶

What’s up traders. Little market update for you guys.

We’ve been on quite the streak with these so we may as well keep it going before we ride into the weekend!

In today’s post we’re looking at the SP500 and Bitcoin.

Let’s dive right in…

Looking at the SP500 Daily chart.

Yet again the bulls failed to take us above the 4100 to 4170 range.

This consolidation comes after a massive monthly rally in January, and you can tell that we are basing in this range.

Almost like we’re gearing up for another breakout move soon.

The bull flag pattern that's forming on this daily chart here makes us on the surface lean bullish, along with us being in an AlgoBuddy bull alert since January.

However we're not totally sold yet…

We don't see the macro-economic climate lining up with the massive rally given the recent seemingly sticky CPI #'s, and hawkish remarks from Mr. Powell.

Revisiting this SP500 Daily chart, the AlgoBuddy momentum indicator is approaching the overbought area as well.

This makes us “skeptical” of longs on any of the shorter time frame charts.

We’ll be eyeing a potential break out of the bull flag pattern soon to the downside.

If price begins to break down and the thick AlgoBuddy green ribbon fails, we might have to jump aboard the bear train.

Switching gears to Bitcoin real quick…

We saw a HARD rejection off of the $25K level yesterday, which we warned about in our last Substack post.

If we can’t flip and hold $25K, the push up higher will be difficult and might indicate some near term pain.

We also need to flip the “Death cross” we pointed out on the Weekly chart. Do that and we can talk more about a push back towards $30K.

As always, none of this is not financial advice, and please trade & invest at your own risk.

Hope you have a great weekend!

All the best.

-The AlgoBuddy Team