Rainy Thursday

Here is that hourly SPX chart again. The key thing today will be can the 21 EMA be support.  Yesterday the SPX failed each time it hit this MA and closed right below it.  If the market opens up today it should open above it.  The SPX also was able to close above its 200 MA, so the the market has lots support below it.  I will be looking to exit my SSO if SPX cannot stay about the 20EMA on the 60 Min.  The bulls have Oil up and the dollar down again on their side, so the market favors the bulls right now.

 

Also on the daily notice how the trendline keeps holding for SPX.   SPX does meet resistance at the January high's and there has been a steady decline in volume during the last move up.  

XLF again closed with another indecision candle via a Spinning top. This lack of direction favors the bears. One thing XLF has managed to do is slowly work its way down to a significant support level.  There is still the bearish divergance to take notice of. Additionaly the 50 EMA keeps creeping lower, the moving averages are working their way to cross if the trend continues.   Watch 11.82 this is the 20 EMA.