Apparently Important SPY Support-Resistance

[dereksas]

We seem to be sitting on a spot that has been recent support and resistance for SPY. Essentially trading sideways leading to the FOMC statement in 5 minutes. Where it goes from this point appears to be important.

[LifeOfDreamer]

Update:

It went down.

I hope it continues to do so. What do the charts think about the move?

thx,
Dreamer

[dereksas]

@LifeOfDreamer

What do the charts think about the move?

Hi Dreamer,

A couple days ago I posted a chart on this forum here:

Is S&P about to start a bearish trend?

Just want to point out one more thing. 9/14 looked great to many, mostly because it was up. Bulls love to see gaps up and they really love when it keeps trading up after the gap. But I viewed the gap and up move as a potentially bearish sign. Up is not necessarily good. If you are flopping up and down it could be a sign of bad things to come, even if you are more up than down. Now, of course this is the stock market and really anything can always happen no matter what you draw on your chart. Yo…

My prediction has almost come true. I also predicted that we may challenge the August lows. If we break those then we are officially in a downtrend from the 52 week high in July, and there would be a greater case that we could be at the start of a bear market. If you read that entire thread which started early August then you would get a good idea about how I feel about the market and why.