ContraryTrader

Spy next Resistance 434. Downtrend

AMEX:SPY   SPDR S&P 500 ETF TRUST
Yellowlines -Weekly wedge
Purple lines - Down channel

All over sold sectors rallied today; Banking , materials, Travel, and energy.

Theres no CPI , FOMC speaking, or Retail sales for catalysts bullish or bearish . All we have on our agenda that can shake The indexes are the Yields and Delta variations. So ask yourself this, Is the surge in delta variant Priced in? I know the media keeps hammering it home how bad its going to get. I think the first line in the sand is if they start placing global travel restrictions again. That would damage OIL and travel stocks majority of which are already trading below 200ma. Add to that the yields cant get off the ground and if they cant move niether will the banks. You take away those 3 sectors :Travel, Financials and Energy and you leave a load for tech to carry.


A look above 434 and were are headed back to 438 . rejection at 434 and i think we reunite with the 50ma sooner than later

Comments

travel restrictions never went away. still difficult to travel.
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