The S&P plummeted Thursday and Friday, aimed at retesting this year’s lows.
![](https://www.spiketrade.com/images/comments/2022/4/image(36).png)
During the past week the S&P500 lost support of its EMA 21. We got a weak Spike Bounce signal on Tuesday (see dashed vertical W line below), followed by a V2 trigger on Wednesday, and closed the abbreviated week below the low of the V2 trigger bar and the -1 ATR. The Impulse is red on the weekly and daily bars.
![](https://www.spiketrade.com/images/comments/2022/4/image(3).png)
The weekly timeframe of the CNN Fear & Greed index is the component of the FGIC that best tracks the medium-term cyclical pattern of fear and greed.
![](https://www.spiketrade.com/images/comments/2022/3/image(51).png)
FGIC has now broken above its –8 level, leaving the extreme fear zone for the first time since mid-February.
![](https://www.spiketrade.com/images/comments/2022/3/image(46).png)
As often happens during the deepest corrections, we had a series of Spike Bounce signals: three strong ones in 15 trading days.
![](https://www.spiketrade.com/images/comments/2022/3/image(32).png)
Last week saw the second strong Spike Bounce (SB) signal in two weeks. During declines, Spike Bounce signals often appear in clusters. FGIC helps differentiate between SB signals that represent a short-lived reaction rally and those that fuel an upside reversal.
![](https://www.spiketrade.com/images/comments/2022/3/image(15).png)
Last week FGIC had an uptick in support of the strong Spike Bounce signal, but it was a short-lived rally.
![](https://www.spiketrade.com/images/comments/2022/2/image(10).png)
On Friday a strong Spike Bounce signal (marked as a vertical dashed “S” line in the chart below) was triggered, after the S&P traced a clear washout of the January lows andclosed above -1ATR, with new lows shrinking from about 2600 to just over 150.
![](https://www.spiketrade.com/images/comments/2022/2/image(1).png)
Last week the S&P broke several support levels and lost nearly 1.5%. FGIC remained flat, ending the week at its –8 level, at the edge of extreme fear readings.