• SP 500 Market Analysis 2-9-15

Pre-market update:

  • Asian markets traded 0.1% higher.
  • European markets are trading -1.2% lower.
  • US futures are trading 0.5% lower ahead of the market open. 


Economic reports due out (all times are eastern): None

Technical Outlook (SPX):

  • A potential breakout on Friday resulted in another afternoon sell-off that saw price rejected at 2064 for a third time. 
  • This sets up for a potential reversal yet again keeping price between 1990 and 2064
  • The 5-day moving average which had previously been a level of support for bulls over the past week, will likely see price gapped back below it today. 
  • SPY saw an uptick in volume but still below average yesterday. 
  • VIX rose 8.6% to 18.30 yesterday.
  • Despite a decline, T2108 (% of stocks trading below 40-day moving average) remains in a strong uptrend. 
  • Oil remains extremely volatile and becoming more so each and every day. Very difficult to trade – as are the oil stocks. 
  • The market doesn’t care about the economy nor earnings. That is not what is driving it. The market only cares about what the Fed is doing to keep equities propped up. 


My Trades:

Chart for SPX:

SP 500 Market Analysis 2-9-15

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