Ten Fast Facts About This Market Environment $SPY

So far the stock market in 2014 does not care about anything but the central bank IV drip.
The bulls continue to run wild in the energy sector $XLE as they wait for some clarity in Iraq. $XLE did finally fall back to reality under the 70 RSI.
2104 has been the year of VERY low volatility and a very slow grinding up trend with all dips bought quickly.
The stock market has shrugged off all headline risk an continued to go higher this is very bullish.
The market rallied back quickly from the surprisingly bad GDP report last week, if unexpected bad news can’t get even a pull back, what can?
The year to date chart is incredibly bullish from a pure price standpoint.
The MACD bearish crossover does point toward a possible divergence and pullback in the short term. Or what is likely in 2014 called “A rare buying opportunity.”
A return to the 50 day would be a a normal occurrence inside a bull market and a high probability entry opportunity. This year it has bounced there intra-day and spent almost no time under that key level.
The market is currently in a $196 resistance $194 support range. The longer we stay in this range and build a base it could set us up for higher prices.
I will be looking to trade the long side dips next week with $SPY in the money call options. I will be watching for bounces at the $194 level and if possible the 50 day, if some risk off does come into play with Iraq or Ukraine next week I would be an aggressive buyer at the 30 RSI level intra-day. I am looking to play my long side swing signals. I will have to trade the signals I am given, and I am no hurry.

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So far the stock market in 2014 does not care about anything but the central bank IV drip.

The bulls continue to run wild in the energy sector $XLE as they wait for some clarity in Iraq. $XLE did finally fall back to reality under the 70 RSI.

2104 has been the year of VERY low volatility and a very slow grinding up trend with all dips bought quickly.

The stock market has shrugged off all headline risk an continued to go higher this is very bullish.

The market rallied back quickly from the surprisingly bad GDP report last week, if unexpected bad news can’t get even a pull back, what can?

The year to date chart is incredibly bullish from a pure price standpoint.

The MACD bearish crossover does point toward a possible divergence and pullback in the short term. Or what is likely in 2014 called “A rare buying opportunity.”

A return to the 50 day would be a a normal occurrence inside a bull market and a high probability entry opportunity. This year it has bounced there intra-day and spent almost no time under that key level.

The market is currently in a $196 resistance $194 support range. The longer we stay in this range and build a base it could set us up for higher prices.

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