Off the Charts

After Monday's reversal, the market began on a positive note this morning, giving traders the opportunity to fade the open. Traders looking for continuation moves to the downside or upside aren't being rewarded as the SPDR S&P 500 (SPY) continues to navigate this lower range. The indices all closed the day up more than 1%, erasing half of yesterday's losses.

After putting in a low of 1266 last week, the market is trying hold a higher level of support. There is a good case for the bulls and bears right now, which means less is more until there is more clarity about further direction. One would expect yesterday's reversal to be in control of the market direction in the next day or two. However, if the S&P continues to hold above 1300, there is a greater chance that the S&P will see higher prices. There are still a lot of complicated headlines out there and the action remains choppy without much follow-through in either direction....669 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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