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Wednesday, March 3, 2010

Neutral to positive going into tomorrow (55%)

We closed the day NEGATIVE like I said! But volume was so light that we couldn't get a triple-digit sell off...but what's new?

On the 10-min. chart of the SPY you can see why I am neutral going into tomorrow. My bias is to the upside only because there is a BEAR pattern on the Dollar and also BULL patterns on DIA and QQQQ.

GS will make its move soon. Between tomorrow until next Wednesday. $160 on GS is major resistance and it is trading in a BEAR pattern. If it falls look for $148 then ultimately $135....

And this is why it's important to understand volume...volume up markets DOWN and vice-versa. The light volume can be attributed to the ugly weather in NY that keep the big boys away from work.

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