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Chart courtesy of StockCharts,com
- The $SPY chart remains in a neutral limbo.
- $SPY closed slightly under the 200 day SMA which is a signal of a lack of momentum, and shows the high potential for more downside before a bounce in price.
- RSI at 47.72 shows a lack of momentum and that there is still room for more downside.
- The $NYMO at 9.01 is very neutral.
- The MACD crossover is still bullish, but almost flat, signaling a lack of momentum.
- The market remained range bound for 2015, finishing down .81% on the year. With only one 10% correction.
- We should see volume return on Monday after the holidays when traders and money managers get back in the game.
- The theme of the current price action and technical indicators is that there is no edge or strong signals, either long or short, and that we need to see a breakout, overbought levels, or oversold levels before making any trading decisions.
- In the intermediate term, the stock market is range bound, and this market that will reward buying fear and selling greed.
- I am currently flat with no positions. I am looking primarily to buy deep dips in 2016 near the 30-35 RSI in the Indexes.
