This SPX chart represents a last ditch hope for market bulls. Note this long two year upward channel remains in place for now. Price came down on Friday to tap the lower rail of the channel, printing a LOD of 1168 before bouncing. The 200 week MA is 1158, suffice to say that the 1150-1170 area represents the bulls last stand; the bull's Alamo. Bulls have to maintain this support otherwise they officially lose control of the markets and the secular bear trend will be locked in for months to come. If the bulls can hang on and prevent the channel trend from failing, then they can at least hold on for a little while longer.
Note the red line showing the lower low in price over the last two months, and the indicators are sloping negatively agreeable to further weakness, but, the MACD line and stochastics are agreeable to seeing a bounce occur. Also note how the RSI and money flow are weaker as compared to a year ago--when price was lower, this forecasts lower prices in the future months.This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.
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