Tonight I will let the charts speak for themselves.
SPX looks like it is ready to break 880. With that in mind, I won’t be surprised to see a little more development of the right shoulder before the breach. Why do I feel so strongly that it will ultimately break?
Today we got a breakdown on the [...]
Tonight I decided to revisit my posts from early March.
Short Term Price Target Reached on $SPX – http://chartsandcoffee.blogspot.com/2009/03/short-term-price-target-reached-and.html
Long Case for $SPX – http://chartsandcoffee.blogspot.com/2009/03/update-long-case-for-spx.html
While we are not in slam dunk mode like we were in early March [yet], I am getting excited because I think the market may be getting easier from a directional standpoint. In [...]
Tonight I’m weighing the evidence. A bull case and a bear case. I’ll let my readers be the judge.
Bullish
- SPY broke key resistance at 800
- DIA broke key resistance at $80
- QQQQ broke key resistance at $31.80
- XLI broke above $20 on good volume. It tested $20, pulled back on low volume and then [...]
I will start tonight’s edition of Sunday Night Coffee by taking a look at $SPX/SPY.
The first piece of information I take away from this chart is that the market has proved the breakout above 805. It is simple. There have been five consecutive closes above 805. To me, this is important because it means this [...]
With respect to where the broader market is headed, today looked like a bad day for the bulls but in reality nothing changed. SPY/$SPX closed right at support in the $80.5/805 area. We still don’t have a handle on whether this is the “real deal” or a false breakout.
My strategy will continue to wait for [...]
One of my favorite parts of trading is observing ridiculous human behavior. Only in the stock market can sentiment do a 180 within a two week period.
You could find dozens of more examples, but these two quotes stuck in my mind.
Today
In addition, Mark Mobius, a prominent money manager, declared that a new bull market [...]
http://money.cnn.com/2009/03/21/news/economy/bank_bailout_next_step/index.htm?postversion=2009032209
Looks like we got another over the weekend press release from the government. We should get our first look at what the markets think of it when ES begins trading in a few hours as well as the Asian markets. Like most headlines, I don’t think it affects how to trade the market but it [...]
$SPX looking good for now. The high was right at resistance in the early morning and the selling pressure then set in. RSI is also pretty interesting right here. Price momentum bumped right up to the January high on RSI and also fell back. RSI has not been higher since last May.
The Dow was the [...]
Today was the day to put up or shut up. Thanks to my junk longs, I had one of my most profitable days of the year even with my portfolio technically be slightly delta negative. The day got off to a nice start as I sold JAVA in the pre-market up 72%. Only a junk [...]
When $SPX was at 671, which was only about a week ago, there were generally two groups of traders. One group was calling this the “big wave” down and was calling for 600. The other group thought that there was still a chance for a retest back up to the 785-805 range. It seemed so [...]
