Wednesday, September 22, 2010

MArket Update

The SPY did break the $113.50, the development that is a little concerning is the intraday wedge forming in SPY, if this wedge breaks to the upside, it should retrace it's base to the $114.40 level. There's a slight positive divergence on the 1 minute, every other timeframe is solidly negative-this is what I look for to pinpoint a reversal so lets see how this develops.  A break below $113 should make this a moot concern.

4 comments:

JC said...

Spy looks to be forming a falling wedge and about to breakout above. Could be a false move. The overall momentum seems a bit light.

Brandt said...

That's what I've been watching-could be a false move, but it will move. 3C was positive at the bottom. With all the other timeframes lining up and this doesn't happen often, that is when I feel most comfortable with the analysis.

JC said...

3C 1 minute positive and all others negative?

Brandt said...

Correct-in the SPY, DIA, and QQQQ