Chart courtesy of StockCharts,com
Chart courtesy of StockCharts.com
    1. Stocks as an asset class are under distribution worldwide in 2016.
    2. $SPY is in an intermediate downtrend under its 200-day SMA.
    3. The MACD is still in a bearish crossover.
    4. $SPY has closed under the 10-day EMA 24 out of 29 trading days in 2016.
    5. The 10-day EMA has been resistance this year.
    6. The 21-day EMA is the secondary resistance.
    7. The $SPY volume on Friday was the second lowest volume day of the year, which is not a good validation of the up day.
    8. RSI at 42.59 continues to show a lack of momentum.
    9. For the bulls to show they are back in control, $SPY has to close over the 10-day EMA and the 21-day as the first bullish momentum signal. Until then, the bears can continue to take the market lower after each rally.
    10. $SPY had its biggest drop in the first 28 trading days-ever.