The market looked poised to start the week off on a positive note, but early morning sellers took over after the opening bell. The $SPY briefly dipped under $198 and traded under $200 for most of the session before a late day surge sent the $SPY to $202. I don't think a chart accurately conveys the volatility we saw in the market today, with prices falling dramatically before rallying sharply.
Today's chart of S&P500 Futures
Today the S&P 500 had a range of over 2%, starting out the day up .7%, only to then close down 1.3%. Most, including myself, thought that the incredible AAPL earnings would have given way to a strong session for the broader market. It sure seemed like it would at 11pm last night when the S&P futures were up 1% and the Nasdaq futures were up 1.5%. However, the “sell-the-rip” theme came back into play overnight and throughout the morning. Today’s session tells us a few very important thing about the weeks to come for the broader market.
Stocks continue their recovery from the frenzied panicked selling of several weeks ago. I still see broken charts but the spectacular rally that we've seen off recent lows has repaired quite a few. Below I have a few charts up with key support, resistance lines. As far as where the market is headed going forward?
