Is that… a dead cat bounce? (with after-hour update)

I sure hope not!

Take a look at the SPY daily chart below.

SPY_Daily

Did you see that wall around $151.50?

Some will say this wall is nothing.  A line drawn from a single pivot high with only one down bar from each side, what kind of wall is that?

Exactly my point!

If $SPY cannot overcome this so-called dime store wall by end-of-day, we have got a serious problem.  This rally may be a dead cat bounce after all.

Well, the day is not over yet.  Let’s wait and see…

Despite a 100 points rally, I feel price action is meandering around all day…

Currently long LRAD, AMRN, USU, CCJ SZYM, URA, DCTH, DNN, and 36% cash.

Trade well!

EDIT: After-hour update

Well, I’m glad to see SPY has closed strong today.  It is way above the dime-store wall! 🙂  Nah, today is not a dead cat bounce.  We may see higher price action next week.

SPY_Daily



Categories: SPY

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