SPY Chart – Limited Upside

I charted SPY this morning at 10:37 when the S&P 500 ETF was trading at $101.14.  After the better than expected jobs report this morning SPY still couldn’t make it through the line of resistance it’s been bumping against all week.  The trend line of higher highs won’t give, but has allowed very slight intraday high improvements along the way.  That can’t last for long.

What to watch for:

• The 10 day moving average has acted as support a couple of times over the past two weeks.  Watch for it to break before getting too bearish.
• Williams %R is still overbought for the 14 and 28 day periods.  Once it breaks below this range is the time to sell be more bearish.
• SPY has a little room above the current price for it to move without breaking above the trend line, but if it does make it above and gets another confirmation day after that, I’d be more bullish.