1. Long term trend in place as a bull market.

  2. Intermediate time frame $SPX is range bound with a half percent return in 2014 for buy and hold indexers.

  3. On the short term time frame $SPX is range-bound with 1840 as support and 1880 as resistance on the daily chart.

  4. The current $SPX chart along with equities as a whole are just being traded back and forth between key levels. Neither bears nor bulls have the conviction to accumulate and hold longs or shorts at this time.

  5. 2014 has been a year of sector rotation inside equities not accumulation of equities as an asset class.

  6. Many high beta names have fell into distribution like $GOOG $FB $PCLN $TSLA as this bull market goes a long time with no correction.

  7. High possibility we see a bounce off the 50 day the first time we get there we will see if it holds.

  8. Many trading methods converge on the 100 day as support and a bounce zone, Elliott Wave, Head & Shoulders chart pattern, RSI over sold etc. if we get there it will be a high probability buy the dip traders will step in and buy.

  9. We are still in a relatively low volatility environment for the indexes so swing trading has a good possibility to still work here.

  10. In this type of chart action generally the more actively you trade the more money you will lose the better you are at staying outside the noise and waiting for good signals the better off you will be generally speaking.

 

SPX