Stock Incubator

[dalcindo]

Re: SPX: Recovery or Slippery Fall?

Hi, xxx!

(DAILY and WEEKLY charts below)

FUNDAMENTALS ARE BEARISH:
World economies are each trying to climb out of the slippery depth, fully knowing that they are chained with one another.

Fundamentally, news from China is lackluster, Europe is now expressing concerns that the down-turn in the US economy will likely affect its own economic regeneration from the recent recessionary depth, and finance ministers in the old world are recommending further cash injection into the banks, while Portugal, Italy and Greece are raising renewed concerns about their ability to further reduce their respective debt.


TECHNICALS REMAIN BEARISH:
SPX remains tethered to the confines of its bearish channel. Although current futures are posting green (http://www.bloomberg.com/markets/stocks/futures/), I stay my bearish position expressed in a prior board entry, where I mentioned that the overriding trend is bearish.

Similarly, $VIX remains in its channel as well, with upper and lower borders getting hit in lockstep with SPX's own tops and bottoms of its own channel.


SPX, VIX - 12-Mo., DAILY Chart:



SPX - 10-Yr., WEEKLY Chart:



$SPX - 36-Mo., WEEKLY Chart:


- Dalcindo



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Message in reply to:
what's in store for the S&P this coming week? and next week ?

tia
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- Dalcindo