SPDR S&P 500 (SPY)

[chichi2]

"Bollinger_Band_Analysis Suggests Caution" by MP Trader 10/12

by Mike Paulenoff (MP Trader)

My Bollinger Band work is warning me that the E-Mini S&P 500 is in route to a test of the lower band line at 1408.

Notice that since Tuesday’s decline and low-close, every rally and every rally attempt has failed to claw back above the down-sloped 20 DMA, now at 1437.75.

This is a signal of serious impending weakness once the price structure begins to accelerate to the downside, after multiple failed attempts to climb above the 20 DMA.

This is exactly the juxtaposition of the e-SPZ and the MA now.



Mike Paulenoff is author of http://www.MPTrader.com, a real-time diary of his technical analysis & trade alerts on ETFs for precious metals, energy, currencies, and an array of equity indices and sectors, including international markets, plus key ETF component stocks in sectors like technology, mining, and banking. Sign up for a Free 15-day Trial!