Stocks are selling off on the twenty-fifth anniversary of the stock market crash of 1987. There is little to focus on from government economic data, but stocks are selling off ahead of the weekend on a myriad of earnings reports which are fair to poor. Today we are analyzing the SPDR S&P 500 (NYSEMKT: SPY) as it is the most liquid and most representative of the broad markets out of all the ETFs which trade.
For Friday’s chart analysis, Phil Erlanger said,
SPY today has broken support on some weaker earnings reports. Watch to see if $145.26 which is support can be retaken. If it cannot, then no need to commit to the buyside.
As far as how this support matters, it depends upon your timeline. The 50-day moving average for the SPY is not seen until $143.23.
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OCTOBER 19, 2012