Quick update on $SPY here, after an interesting trading day.
Overnight and through lunch, markets were soaring (+1% most of the day) amidst good vibrations. An afternoon FT article resurrected the “taper” talk, but the market held strong after an initial pullback.
SPY intraday fractals remain bullish. The 1-minute chart shows an island Head & Shoulders top that developed after the open gapped-up. When its neckline broke, we got a fierce intraday dip, particularly attributable to the aforementioned FT piece. The 15-minute shows that pullback to resistance-cum-support, which held up nicely into the close. There was a scare there for a moment, when a leak lower would’ve turned the opening gap’s peek above the trendline into a nasty bull trap, but no worries since the technicals withstood the bear raid:
The daily chart shows us poised to continue the bull flag breakout:
I tend not to post that many daily technical updates, lest I focus too myopically on the short term. But, every now and again, the market pulls back like it had over the past month, and that creates opportunity that’s worth documenting. This is one such occasion…