Price is extended above the moving averages and needs a reversion to the mean. A move to the 20-day MA at 491.78, and rising, at a minimum would be expected. Keystone's trading algo, Keybot the Quant, is tracking SOX 503.25 as a bull-bear line in the sand. If SOX 503.25 fails, equities are in big trouble, the SPX will lose 1772, and far lower numbers will print moving forward. The bulls must keep SOX above 503.25 or they will lose control. 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.
Note Added 7:45 AM on 12/17/13: SOX leaps 7 points higher yesterday to 512.15 on news of the LSI deal. The move higher is a back kiss of the lower rail of the wedge. Nothing changes; lower prices are expected moving forward.