SPY Holds 21-Day Average And Closes On Highs

Published 02/21/2016, 06:02 AM
Updated 07/09/2023, 06:31 AM
SPY
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**These are my thoughts on the N:SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

"Great minds discuss ideas; average minds discuss events; small minds discuss people." --Eleanor Roosevelt

We saw a pretty quiet Friday that did not yet answer the question of whether we consolidate before moving higher or if we crack and move lower.

If we don’t move lower Monday then I’ll be back to cash but I did hold all my short positions over the weekend.

SPY Daily Chart

Pretty decent action from SPY who held the 21 day average and closed on highs but it’s certainly not yet a definitive sign that the next move will be higher still.

We’re still very overbought so we need a few days of consolidation at least but if we don’t drop Monday, then that is a sign we are going to consolidate and move higher.

I’d love to see us move higher but it’s not up to me and the recent action has been very damaging to charts.

I’m short SPY with a 15% weighting at 192.05 so let’s see how that goes.

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