$SPY fighting to recover and close above the 50MA at 133.46. In order for the bulls to have any good expectation going into tomorrow, we need to close over 133.46. Tomorrow we have new home sales, and crude inventories. If any or both of them come with good numbers, it will help us contain a little bit this sell off, that I am sad to say, still have a long way to go since we are just under the neutral position in the $NYMO (McClellan Oscillator) .
Actually I am very curious to see where the $NYMO will be today after this sell off. Many of my colleagues were expecting this Tuesday to be another recovery day after Monday’s sell off, but there was something that just did not convinced me.
That is why I will continue to repeat, that it is very important to have a good interpretation of the $SPY, and the $NYMO every morning, so when you look on your charts, you know what to expect in the overall market.
May you all have a good end of your day.
