Tough Spot

10:38 America/Los_Angeles 23 Jul 2010 1 Comment

Went long today at $109.40 on SPY.

The market has been a choppy mess as of late and been very hard to get a solid trend. Currently the trend is up and we are above the 50 Day moving average, but we still have the 200 day moving average to deal with around $111 on SPY. Looking for a runup to that point and then a breakout. Hopefully this trend is not a head fake again. Keep in mind New Home Sales are on Monday, which could be a negative although yesterday the bad existing home sales did not matter as they are spinning bad news.

Below are charts with markups explaining the situation.