Stocks are trying to hold on to gains after several days of selling and now we have to consider that we may be seeing an "oversold market bounce" trying to take shape. Today we are analyzing the SPDR S&P 500 (NYSE: SPY) as it is the most liquid of all ETFs.
For Thursday's chart analysis, Phil Erlanger said:
Wednesday saw SPY trading pivot to support. We noted, "The range from resistance to support is VERY wide given yesterday's (Wednesday's) puke. Pivot will be a challenge today. SPY could be down for a fifth day in row which is very oversold on a number of days basis." SPY indeed did trade down for a fifth day. This morning SPY hit resistance at $143.96 and has failed. Watch for a retest or a break of pivot at $143.45. The market remain fragile despite the positive open.
The Erlanger Value Lines can be accessed via Erlanger Chart Room. The daily service gives investors and traders access to critical buy/sell levels on the S&P 500, NASDAQ, DJIA, Oil Services Index, gold & silver, any index or equity, as well as analyzing short-squeeze opportunities and more. For more information we direct you to sign up here.
SEPTEMBER 27, 2012
Filed under: 24/7 Wall St. Wire, Active Trader, Charts, Technical Analysis Tagged: SPY