Is this a Double Top Reversal for the S&P/TSX index?
The most important points from the above chart of the S&P/TSX index are:
- Major resistance is at 14,300 on the candlestick chart.
- There is the possibility of a Double Top Reversal bearish pattern.
- A close below major support of 13,200 would confirm the Double Top Reversal.
- Monitor support at 13,800 for the development of a consolidation pattern.
- There is a major support level of 13,500 on the weekly candlestick chart.
- Note the negative divergence with the MACD.
A neutral trading strategy is recommended — do not add to long positions — for Canadian stocks with alerts at the highlighted support levels.
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