Short Term Trading Member Forum

[techcharter]

Other SPX TA

The recent rally out of the May '10 lows ratraced a fibonacci 38-40% of the April-May selloff. The retracement has tried to climb above the 200 DMA, but has been repelled several times. The 10 DMA is a few points from dipping below the 200 DMA. Theprice was repelled by the 10 DMA yesterday. The lower bollinger band is opening up indicating a volatile move and downside support at much lower levels. Volume has shown a disinctive pattern of increasing with downside moves, and decreasing through bounces, a bear market trait.

While all of this is bearish, The duration of this corrective bounce isn't even 20% of the April-May selloff. Look for gaps and narrow trendlines to support a bearish position, or choppiness to support more bullish position.

http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=0&mn=6&dy=0&id=p57148489116