I still don’t feel like this market is ready to go back up and test the highs. The drop yesterday, and explosive recovery was very impressive, but the late day selling still signals that there are levels that this market wants to test.

Today’s jobless claims decline was nice, but not enough to put a smile on my face. And the futures are clearly showing that. I think one thing should be kept in perspective. And that should help everyone time their entries to the long side as we are still in a bullish trend, but desperately looking where to find support.

Here is what i have in mind:

$AAPL have been a heavy load on the $SPY and it seems that it can’t help it at all once it finds it’s support. I say a flush to 522.33 (5th Fibonacci Retracement Level) will most likely put the $SPY right at the 140.10 (3rd Fibonacci Retracement) support. And then we bounce back to make new highs.

The media and stock ANALysts will say that $AAPL did a double bottom and that it is ready to go back up, they will also make up a story that will help lift the stock. Pure speculation, and stock/market manipulation. That is to be seen.

$SPY 1st support is 140.47, 2nd support 140.02 (2nd Fibonacci Retracement), and 3rd is 139.47.

$SPY 1st target is 141.56, 2nd is 142.26 3rd is 142.71, and 4th one just for fun is 143.55.

Trade what you see not what you think.

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