It is a summer Friday with most hedge fund masters of the universe well on their way to the Hamptons, so there is no sense in me holding off on a little Phil Collins action.
The updated 30-minute chart of the SPY that I was presenting to you all day yesterday shows us that the bulls have a lot of work to do in the short-term if they are going to turn this ship around. Price is clearly in a downtrend and the jobs number was simply an enabler to push price down out of the bear flag setup. Again, I do not view macro data the same way I view micro data, such as company earnings.
In order to right the ship, the bulls need to successfully negotiate the declining 20 period moving average in this timeframe, which is likely to entail quite a bit of backing and filling in order to stabilize and smooth out that reference point. In other words, I have no interest in being a hero on a summer Friday. I suspect that if the stabilization is going to happen, it will need to take place early next week.
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Thanks. Answered my questions before they were asked.
Good
Try this:
http://image.highperformancepontiac.com/f/12700839/hppp_0902_03_z+sta_bil+fuel_stabilizer.jpg
Chesster, I have a weekend charting request; Can you please have a look at bonds on the daily & weekly? In particular TLT ($UST20YR on stockcharts.com) and TBT.
I’m not 100% convinced yet, but enough to take a shot at the dark side of bonds (TBT calls.)
TLT is in better shape than TBT, but TBT looks a bit overdone to the downside. I’d expect a bounce there at a minimum.
No Saturday night cinema??? lol. Hope you are having a great weekend Chess.
sorry, busy weekend