Internals and Price Action are aligned to the downside making SPY $110.00-110.50 a prospective first target. However, bears need to watch volatility very closely, as it is also falling — keeping it “light and tight” for that reason here and perhaps a higher low here can lend some support. Upside risk remains near the falling fifty-day moving average in the low $114’s. Meanwhile, note how Discretionaries, Energy and Financials are leading the way down — I’ll be keeping a close eye on those as well.
Never Investment Advice
