Excess very often indicates the end of one auction and the beginning of another auction. Excess occurs across all the timeframe and currently, SPX 500 on last Friday ended with a deep excess on the daily timeframe, which brings to the speculation of a possible short term trend change from here.
SPX 500 during the year 2022 alone had lost -18.15% and currently ended with extreme exhaustion + multi-week breakout failure on the weekly timeframe which brings the question of, is the SPX 500 is due for a short term bounce. By any means, the current low 3810 in SPX 500 is likely to be a critical one for any positional bottom formation and likely to target 4300 levels in medium term.
