Monday, May 20, 2013

SPX 30-Minute Chart 8 and 34 MA Cross

The bears are unable to catch a break. The 8 MA refuses to drop under the 34 MA so the bulls remain in control for the hours ahead with the 8 above the 34.  The upward price move is relentless using the upward-sloping channel as a guide. The red lines show negative divergence in place, however, the bulls keep overriding any negative affects due to the Fed and BOJ easing policies. There is some momo over the last several candlesticks so further price buoyancy is in play but the negative divergence should create a pull back in the hours ahead.

Key support below is 1667, 1661, 1649-1650, 1633-1634, 1626-1627, 1623 and 1618. Bears will not gain any downside momo until they push the 8 MA under the 34 MA.  If the SPX prints under 1661.53 (8 MA) that will curl the 8 MA to the downside. If the SPX remains above 1662 and higher, it will be another bullish day. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.

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