It’s not atypical for support to be undercut before making a comeback. Think fake-out both ways. Of course in this case we have sliced both the 50-day moving average as well as the multi-week up-trend line. With next support all the way down at SPY $129-130, short-term traders need to decide whether to fade the pull-back, or consider the trend down to next support. As for me, with price oversold for now I’m looking at the former with light longs and tight stops — never investment advice.
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