Wisdom

Taking small losses is part of the game. Taking large losses can take you out of the game.

SPX analysis for 7/30/2010

After disappointing GDP numbers, the market sold off early on, but managed to gain back all the loses to close flat, still the SPX closed below the 200 day moving average for the 3rd consecutive day in a row, but is holding above the 1100 mark and above the 20 and 50 EMA's as well.
If the bulls are going to take charge, they will need to do so quickly, before more damage is done, which could bring the index down to 1060.
Resistance is first at 1120, then at 1130 and support at 1060

SPX analysis for 7/27/2010

The market opened with a gap up but started selling off right after the opening bell, and closed red forming a bearish reversal candle.
It is sitting at support right at the 200 day simple moving average around 1114, a pullback should find support first at 1100, then at 1080 at the 50 day moving average and if that one is broken next is 1060.
Resistance is June highs around 1130

Wisdom

It’s OK to be wrong; it’s unforgiving to stay wrong.

SPX on Europe Banks Stress Tests

Well folks, today the market finally closed above the 1100 mark area, signaling some strength as we can see on the daily chart, the index is clearly posting higher highs and higher lows.
Also the SPX has broken above the downtrend line and closed above the 50 day moving average as well, all signs of strength.
If the market can hold above the 1100 mark, it most likely will trigger the bears stops and easily reach the next resistance level at 1120 at the 200 day moving average and then June highs at 1130
On the way down support remains at 1060

SPX, Earnings + Bernanke

The 50 day moving average around 1090 proved to be strong resistance for the market, coupled with Bernanke's comments about the economy was enough for the sellers to step in and started the afternoon sell off which ended 20 points below the hod.
Support level is around 1060 and resistance at the 50 day moving average at 1090.

Wisdom

"If you are confident in your ability to make money, you will not fear missing market moves."

SPX Rally

A beautiful day for the market, the S&P opened above yesterday's close and rallied 30+ points on average volume, breaking 1st resistance level at 1040 and then 1050 to close at 1060, setting the stage for a continuation of this rally for the next couple of days.
The 50 day moving average is at 1100, which is the next logical resistance level, support is now at 1050
Keep an eye on the markets reaction on tomorrow's Jobless Claims news.

S&P Volatility

Very volatile day for the market, the S&P touched support at 1010 during the overnight session and from there rallied 30+ points to a little over resistance at 1040, most of the bounce was in the pre-market session though.
Once the buyers were exhausted, the market sold off 24 points filling the opening gap, which was very profitable for the ones that went short.
Note that the moving average death cross is firmly in place, but despite that occurrence, the market managed to post a higher high and a higher low.
Support remains at 1010 and resistance at 1040

Wisdom

Emotions are the enemy in trading, and as such they should be eliminated (or controlled) from the decision making process.

SPX analysis for 7/2/2010

The market had an initial negative reaction to the employment numbers, but rallied after wards reaching the 50 day moving average, unfortunately the rally didn't hold and 15 minutes before the closing bell, sold off closing at 1022 .
So far the S&P has closed down 9 days in a row and everyone is saying that the market is oversold, (which it is) and due for a bounce, but we know how the market works and never does what everyone is expecting.
Support remains at 1010 and resistance at 1040
The 50 day moving average is already touching the 200 day moving average, which entails what's coming next.

SPX New lows

The S&P touched the mentioned support at 1010, before bouncing off to close at 1027, creating a red hammer, still closed negative, but gave some hope to the bulls for tomorrow's trading day.
Everyone is keeping an eye on the employment report, which will decide tomorrow's market direction.
Volume should be low as most traders are getting ready for the long holiday weekend.
Support still is at 1010 and resistance at 1040