• SP 500 Market Analysis 3-3-15

Technical Outlook (SPX):

  • SPX broke out of a bull flag yesterday after a light volume coil for the past three days. 
  • The index also recaptured the 5 and 10-day moving average. 
  • New all-time closing highs for SPX yesterday. 
  • Nasdaq is now back above 5000 for the first time since March of 2000 – a fifteen year lapse to the month
  • Volume was stronger than the daily average seen last week. 
  • VIX dropped 2.3% down to 13.04. 
  • T2108 (% of stocks trading above the 40-day moving average) has remained flat over the last month at 64%. 
  • Head and shoulders pattern that was forming yesterday on the 30 minute chart was nullified with the afternoon rally that we saw. 
  • On the same time frame, SPX appears to be coming out of a nice base now. 
  • 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 3-3-15

You Might Like

  • fading the gap

    Fading the Gap: How Large Overnight Moves in SPY and QQQ Play Out During the Trading Day

  • how to trade a bear flag

    How to Trade a Bear Flag

  • Technical Analysis vs Market Conditions

    Technical Analysis vs Market Conditions: How to Know What’s Affecting Your Trades