Stock Market: A Day to Take Notice?

I’ve attached two charts: the daily chart and the 60-minute chart, and both have potential massive topping tails. We see the same topping tails across many sectors right now. Bernanke triggered an early push higher in the market with his usual dovish comments, but it seems after he said the words “on the other hand” the market starting pulling in. The rest of the FOMC is more hawkish than the Fed Chairman, so it is no surprise that the minutes released at 2 PM ET were less market-friendly and caused the sell-off to intensify.

Combine those two Fed related events with the fact that we are in a very extended markets, and it makes for some potential volatility. If nothing else, this is now a spot to clean up some loose longs, in my opinion. If you have been looking for short entry signals, I think this is the strongest one we’ve had in a while, but we’ll see what it leads to. I wouldn’t put anything past this 2013 market, so you should tread softly in whatever you do here, in my opinion.

The 8-day moving average stands at $165.76 and the 21-day MA stands at $166.33 — those are the next levels to watch.

Daily – (NYSEARCA:SPY)

(click to enlarge)

60-minute

(click to enlarge)

Disclosure Scott Redler is long BAC, short SPY. Traded but flat AAPL, MCP, JAZZ, INTC, ZNGA.

About Scott Redler 367 Articles

Scott Redler is the Chief Strategic Officer of T3 Live. He develops all trading strategies for the service and acts as the face of T3 Live. Mr. Redler focuses on thorough preparation and discipline as a trader.

Mr. Redler has been trading equities for more than 10 years and has more recently received widespread recognition from the financial community for his insightful, pragmatic approach. He began his career as a broker and venture capitalist where he was able to facilitate relationships that led him into trading. Beginning his trading career at Broadway Trading in 1999, Mr. Redler moved on with Marc Sperling to Sperling Enterprises, LLC after establishing himself as one of the best young traders in the firm. As a manager at Sperling Enterprises, continued to trade actively while working closely with all traders in the firm to dramatically increase performance.

Mr. Redler has participated in more than 30 triathlons and one IronMan, exhibiting a work ethic that also defines his trading. His vast knowledge and meticulous attention to detail has led to regular appearances on CNBC, Fox Business, Bloomberg, and he is a regular contributor to Minyanville and Forbes’ Intelligent Investing blog. He has been quoted in the Wall Street Journal and Investor's Business Daily, among other publications.

Scott received a B.B.A. in Marketing/Finance from the State University of New York at Albany, graduating Magna Cum Laude from Albany's School of Business.

Visit: T3Live

Be the first to comment

Leave a Reply

Your email address will not be published.


*