February 9 Chart of the Day - S&P 500

February 09, 2024

Precision oriented price action technical analysis by far provides the best edges and most setups for traders across the markets so that's what we use for the basis of our reviews.

Once again by popular demand the S&P 500 (/ES) is our chart of the day for making new all time highs (ATH) yet again today.

We repeatedly field questions like:

This market can't keep going up can it?
How high do you think this market will go?
Do you think the market is going to crash?
When are you shorting this market?

The answers are yes it can, we have no idea, maybe or maybe not, and not until the trend changes...

Technically speaking, the overall market could still be reaching for mathematically oriented upside targets. We use Fibonacci and Trend to identify potential upside targets as explained in our "Trading All Time Highs" webinar replay.

This chart below was updated earlier today showing the possible targets. As a specific note, we do not plan to short these levels if price reaches them.

Why? Because price could keep going higher as if the drawings weren't even there.

About the only thing guaranteed in the markets is that they cycle up and they cycle down. Across all time frames and charts. Nobody can tell you with any certainty what price will do in the future.

Nobody.

However, using price action technical analysis tools native to every charting platform we can identify levels of interest in both directions of the cycles.

Take for example this higher time frame monthly chart we shared with our Trade Room members and on our social media accounts. Price had clearly broken a long term trend line and was coming back for a retest. Seeing that momentum was at a low and could possibly turn back to the upside along with price we posed the question ES 5000 or 3000?

The majority of responses were for 3000 but we realized that price could actually reach 5000 first and sure enough it did.

ChartPros provides the exact methods in its price action technical analysis courses to create charts with the most precise and accurate levels from which investors and traders can formulate their respective trade plans.

Keep in mind as the old saying goes... "the trend is your friend" until it isn't.

So what's next?

We don't make predictions...

Nobody knows for sure but using these 5 price action tools traders and investors can develop levels of interest in both directions.

Support/Resistance
Trend
Fibonacci
Supply/Demand Zones,
Change Control Zones

Take a look at the charts and let us know what you think.

We'd like to hear from you in the comments sections.

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February 9 Chart of the Day - S&P 500

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