Market Slowly Grinding Higher

I thought Monday we’d get a rally starting mid to later week, but I thought we’d see more downside and a test of S&P 1120.  Didn’t happen, and that rally already happened in the first 3 days of the week as we are inching closer to the top of our 100 point range (1120ish to 1220ish on the S&P 500).  Yesterday’s volume was very low, just about half normal going into the last hour.  Today it’s quite quiet again – and after this morning’s shake out we continue to grind higher.

We can clearly see the down sloping 20 day moving average was where the market was rejected last time (over 1225 last time, currently 1218 and falling)…. and of course in news events Europe began to matter again at the exact same time.

It will be interesting to see if a news event everyone knows will happen a week from today (Operation Twist) will drive the market up through resistance.  Other than that, we are just in a range – and been stuck here for a long while.

About Mark Hanna 542 Articles

Affiliation: Hanna Capital, LLC

Mark Hanna is President and Owner of Hanna Capital, LLC, a registered investment advisory firm. Mark has been a follower of markets since the late 80s, with a focus on individual equities since the mid 90s. He has been a well known commentator in the financial blogosphere for the past 5 years, following a career in corpoporate finance and accounting. Mark attended the University of Michigan where he graduated with a degree in Economics.

As an avid reader, Market Montage is the personal blogging site for Mark to share his views on economics, markets, and the like. Occasional cynicism and wit shall be deployed in his postings.

Follow Mark on Twitter @fundmyfund.

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