Amazing what 2 solid back to back days can do for the technical condition of the market (S&P 500). From closing below the 20 day moving average (for the first time since November) Friday, to a break out over yearly highs Tuesday at noon. Unlike November, when a small technical break led to some weakness for a number of weeks; this time around it was not even a glancing blow.
Now the question returns, do we start a new "V-shaped" rally that has marked so many of the upside moves since March 2009? Next clear resistance (not that resistance matters anymore) appears to be August 2008 highs around S&P 1350. Long side traders can now play the market from the long side using S&P 1302 as their base....
.....it remains the remarkable, unshortable market.
Tuesday, February 1, 2011
S&P 500 Breaks to New Highs, Change in Technical Condition in 2 Market Days
Best Of FMMF
- 1: Warren Buffet Piles on Europe
- 2: [Video] Jim Chanos Returns from Europe, Even More Bearish on China
- 3: A Chart to Open Our Eyes - Staggering Changes by Multinationals in Employment Behavior 00s vs 90s
- 4: Futures Blasted on Dexia Woes... and Poor Preliminary China Data
- 5: Market Working to Worst Thanksgiving Since 1932
- 6: Et Tu, German Bonds? Poor Auction Raises Eyebrows