An updated “
The only chart that counts” posted 8 days ago — trend-line’s still holding and still calling our name. We’re not fans of making longer term bets as a few contra-trend days down the road can completely change the picture but the obvious look is test and bounce on the trend-line, and then through for lower prices. Short-term is our game though and we’ll be looking to play day-trade bounces on the trend-line, currently at
$SPY 125. Note we’ve become much more cautious than we have been in buying support and are picking our spots very carefully. This is an unforgiving tape and one has to adjust accordingly.
The Russell is hanging on better than the other two and trend-line farther away here on the
$IWM at 74.5
The Russell has the added advantage that the trend-line coincides with horizontal support (the other two horizontal support are further down) and for this reason is our favorite:
