$SPY opening lower followed by US data showing that Initial claims for state unemployment benefits rose 4,000 to a seasonally adjusted 372,000, the Labor Department said on Thursday. That was the highest level in five weeks.
What I have been noticing lately is that stocks are running once we start to get close to a date when the fed will speak, or release their minutes after a fed meeting, only to sell off in an orderly fashion for a couple of days when the traders don’t get any word from QE3.
I have written about this on other posts that we really don’t need a QE3 since the economy is slowly picking up. Like I said slowly but picking up. The problem we seem to be having right now is not really here in the US, but in Europe, and our bad days is mostly in sympathy to their bad problems.
The US is not perfect either, but at least the Fed kicked the can far enough to buy themselves more time. The Europeans are so complicated (socialists), that they will probably have to go through a referendum to know which nation have the best kicker, and when that is done, they will vote, then have 5 dinners (so called meetings), and at the end they will choose a chess player to kick the can.
Now, let’s go to the numbers,
$SPY 1st support is 140.87, 2nd support 140.21, and 3rd is 149.23.
$SPY 1st target is 141.56 , 2nd is 142.26 3rd is 142.71, and 4th one just for fun is 143.55.
Trade what you see not what you think.
