Stock Market Technical Analysis Blog
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In the market today the S&P got off to a good start and for a little while it appeared there might have been a short squeeze coming but then the big sells started coming in too fast and it reversed back down to close slightly negative.
Looking at the charts:
- Focus Chart at top - shows the SPY is managing to resist the downcross, but barely. Notice that it did get slightly oversold from the two moving averages and printed a 60 minute bullish hammer reversal candle for the last bar.
- Chart 1- S&P held at its lower line during the final hour and started bouncing up from it into the bell.
- Chart 2 - VIX popped back up into the blue channel but settled back down some into the bell.
- Chart 3&4 - see Tuesday's 9/2 blog for commentary.
- Chart 5 - shows the S&P is holding just above the blue horizontal line coming across from the July peak. It is critical that this line is not breached.
- Chart 6 - shows the VIX closed up in the black horizontal mother channel, mildly bearish for stocks.
All in all, it was a slightly disappointing day for the S&P but if Team Yellen can make good on that slightly oversold 60 minute bull hammer candle at the close, they might have a better day tomorrow. We are still flat with no positions.
Trade well my friends
Alan
