Fuinhaz $SPY read for March 4 2013

So come Monday and we are in full sequestration mode. Maybe the reason the market is looking for a serious and who knows long pullback.

I have not talked for a while about these other 2 indicators I have been using. The $FXY and the $XLF.

The $FXY have been trying to stay above the 105.45 Fibonacci level. I believe that the next time it makes it above that level, it will easily go to 111.20. At that time, many stocks will be setting up to bearish patterns, but most traders will be 2 to 3 weeks late.

The same thing with the $XLF, once it fails the 17.60 level, then this market will be in the hands of the bears once again, and like the $FXY, it will reach that 15.20 level as people will still be talking about buying the dips.

So pay attention to these levels, so you have one step in front of everyone else. I always also like to remind everyone, that these levels are important for those who want to anticipate the markets next move, but it is crucial to have stops in place, and have them ready to be executed if indeed the market refuses to give up. Having the levels in mind is an extra safety net to help you out. But once the market give into these levels, you will sail in calm waters since you can see where you are going while others will be devoured by the sharks and market makers that will indulge younger and inexperienced traders into buying the dips.

We’ll see who survives.

$SPY 1st support is 150.76 2nd support 150.21 and 3rd is 149.30 (Fibonacci Level).