SPX dipped slightly below yesterday's low and found some buyers. It came within four points of the 200 SMA. I hate it when it does that. Now we are left to wonder was that it. Did SPX really get that close and not tag it. Breadth was -54%. New highs dropped down to 21. New lows spiked up to 159. With rates rising the new low list probably has plenty of bond funds and related ETFs. The 10 year closed over 3%.
The futures are up about 11 points as I write this. I would guess there was some good earnings news behind the move. Unfortunately that has been no guarantee for the next day. The futures are currently testing the lower channel line. They could get rejected there. If not then a test of the 20 SMA might be in order.
The red count slipped a bit, but is still above the green line.
SPX was actually slightly red with 5 minutes to go, but there was a big spurt into the close. The futures climbed even more after hours. That seems like somebody new something doesn't it. Even if the futures are still up by the open they might not stay there. The bulls need to prove they can hang on to a rally. We will see what happens tomorrow.
Bob
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