Monday, August 01, 2011

Technical Symphony

$SPY is wedged right now between the descending 50SMA (where it reversed today) and ascending 200SMA (where the selling paused).
As an added bonus we have the all-important 2009 trend-line just over 127 and then the weekly 50SMA at 126.50.    Inflection point indeed.  As per our post on Friday we’re looking for a break of the 2009 trend-line — ideally a head-fake through and then bounce on weekly 50SMA at 126.50 zone.