SPX Weekly Chart

The SPX fell thru the 50-week MA last week but now has recovered the 1368 level again.  The blue lines show the rising wedge, negative divergence and overbot conditions that created the spank down over the last couple months.  The red lines show the weak and bleak profile for all the indicators. The histogram is flat and aided the price recovery move this week. The red lines want to see lower lows in price in the weeks ahead. The low in recent days was at 1343. The 1340 level is where Dragi proclaimed to support the euro by all means necessary on 7/26/12. Upside resistance is 1391, 1403, 1406 and the 20-week MA at 1411. For the downside, simply watch the 50-week MA.  If 1368 fails, look out below. 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.