mologna91

SPY - watch for a bounce

Long
mologna91 Updated   
AMEX:SPY   SPDR S&P 500 ETF TRUST
This is a purely technical analysis, as fundamentals seemingly mean nothing nowadays.

We need to wait for this signal to confirm, but $SPY is approaching the bottom of its channel and is primed for a bounce. If it hugs the bottom of the channel this should be considered a red flag that the trend may break. If it sharply rejects this indicates a promising long position. Targets should ideally be set around the mid-channel mark, which would be ~$320 depending on duration of trade window.

As for now, I am remaining neutral on this position.

Comment:
I should also note that we're currently flirting with original upper trend line of the longer-term weekly trend.

If we fall through this line, absolutely be looking for shorts.

Order cancelled:
We have broken out of the trend. Assuming we break 300, look to short to 296. If 296 falls we're falling much farther.
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