• SP 500 Market Analysis 5-1-15

Technical Outlook:

  • Heavy sell-off yesterday that saw SPX drop over 1% by day’s end. 
  • Trend-line off of last year’s October lows was broken yesterday. 
  • Volume was very strong yesterday on SPY. 
  • SPY trend-line off of the February lows held up perfectly. 
  • As a result, the market is showing signs of bouncing in the early morning. 
  • 50-day moving average was broken yesterday (most notably) as well as the 10 & 20 day moving averages. 
  • 30-minute chart shows the recent rising trend line is broken and the technical picture is very much muddled. 
  • VIX shot up again rising 8.7% to 14.55. 
  • T2108 was decimated, seeing one of its worst days in a very long time – dropping 18.3% down to 46.5%.
  • A move below 2072 or 4/17’s lows would create additional problems for SPX. 
  • 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:

  • Closed out CAT yesterday at 86.69 for a 1.7% gain. 
  • Did not add any new positions yesterday. 
  • 10% long / 90% cash. 
  • I’ll consider adding 1-2 new positions today dependent on the strength of today’s price action. 
  • Remain long: AER at 46.92.
  • Join me each day for all my real-time trades and alerts in the SharePlanner Splash Zone

Chart for SPX:

SP 500 Market Analysis 5-1-15

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