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