Stocks are lower yet again on Wednesday as some investor profit taking and caution is coming in ahead of the onslaught of what is expected to be weak corporate earnings reports. The long and short of it is that this a market dominated by charts ahead of earnings season. We are analyzing the SPDR S&P 500 (NYSEMKT: SPY) as it is the most liquid of all ETFs.
For Wednesday’s chart analysis, Phil Erlanger said,
Tuesday saw SPY is again trading pivot to support. When we wrote we noted that, “SPY had yet to break support but it is testing support at $145.26. We would feel better about a long bias if SPY could break above $145.44 its five minute high.” This never happened and the puke ensued as we failed at support and if you when short there you had a nice gain.
Today is another pivot to support day. Watch for the 2:00 time to see how trading goes when FOMC notes are due out. Continue to short breaks of support. Again watch for a move above the 5 minute high.
The Erlanger Value Lines can be accessed via Erlanger Chart Room. The daily service gives investors and traders access to critical buy/sell levels on the S&P 500, NASDAQ, DJIA, Oil Services Index, gold & silver, any index or equity, as well as analyzing short-squeeze opportunities and more. For more information we direct you to sign up here.
OCTOBER 10, 2012
The Modern Investment App For a Richer Tomorrow (Sponsored)
Robinhood set out to democratize investing to individuals, and it’s not slowing down. The app makes it possible to buy and sell stocks, mutual funds, trade options, and even cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).
With FDIC insurance ,an award winning design, and benefits like IRAs and more, Robinhood could be your path to a richer tomorrow.
Sign up today — click here to start your journey.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.