Market Update

In Friday's market update I showed the bearish ascending wedge in the SPY and said the following about it, " The SPY and the bearish ascending wedge mentioned earlier. I'm a little surprised we didn't see an upside breakout before the downside break down."

 This is the wedge I was referring to. Today satisfied the upside breakout I had been surprised not to see.

 An argument can be made for a much larger wedge as well.

 Here's 3C 5 min on the smaller wedge and today's breakout to the upside

And here's the larger wedge on a 15 minute chart showing the accumulation cycle as well.


Here's today's TICK Data.

There haven't been too many days in which the Tick chart went sub -1000, todays low was actually  -1319 and the market has spent considerable time below zero.


These wedges often do playout as they are anticipated to, especially the larger ones, it's just that they are often manipulated before they do with false breaks or several series of false breaks up and down.


There's been plenty of strange action in the market, especially on Friday. You may have seen the post I put up after the close.