Wednesday, May 4, 2011

Trading Osama: "S&P 500 Sitting on Support"

So far, right on the direction but only half the expected magnitude.
From Bespoke Investment Group:
The past few days have seen quite a few momentum stocks really take it on the chin, but the S&P 500 as a whole has held up relatively well given the three consecutive down days to start the week.  As shown below, the technicals of the index haven't really been hit at all yet.  The index remains in a nice short and long-term uptrend, and it tested and held key support today that formed from its February bull market highs.

The Market as Rorschach: Trading Osama
Trading Osama: Phase One Complete; Now for a Bit o'Downdraft (DIA; SPY)