Wednesday, April 25, 2007

SP500 analysis

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Well, I totally wrong about yesterday's theory that the gap @147.25 would be filled. In fact, the market threatened to leave today's gap up unfilled as well. After watching today's market action, I can't find a even a sliver of a bearish case in the chart.
Any gap downs are filled quickly, any gap ups threaten to be unfilled - if it wasn't obvious by now, the bulls are in control. The only way these 3 gaps left behind in SPY will be filled is if we get a change in trend.

Trend is up. We may get one or two down days here and there, but they will likely be bought up in this latest bull run. Until the uptrend changes, make it your friend by buying on any pullbacks, since that's what everyone else has been doing in the past 2 weeks.

Strong support @147.3 - 147.5, weaker support @148.6. I see no significant resistance levels, given that SPY put in a new ATH today.

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