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Day Trading Technical Analysis



The Dow last week ended above its 200ma which is around 11,700.  If we can close another week above the average this would be technically a positive sign for the markets and the Dow may see 12,350.  The downside is at 10,700 if we cannot hold above the average.  This week we still see weak economic data.  Jobless claims again came in again at high levels which are pointing to recession.

 Dow Industrials:      Support: 11500       Resistance: 11,700 – 11,866

The Dow Industrials made a short term bottom on July 15th of 10828 and we continue to rally of those lows.  For the Dow to continue this rally we need a close above 11,717 which is the weekly 200ma.  The Dow has been above this level since 1983 which is significant.

The Dow is now is now forming a rising bear wedge.   A break below 11,500 could be significant.  

S&P 500:  Trend line Support of 1270   Resistance at 1291 1320 1350

S&P500 is also forming a rising bear wedge.  A break below this could also be significant.

Spy:  Support 128 Resistance 131

Spiders are continuing to form a ascending trend line. A break below will have support at 126.37 – 124.81 – 123.55  and a test of the July 15th low.

QQQQ Support 46  Resistance 48.50

Q’S have broken out of the 46 resistance which is now support.

Iwm:  Support 70   resistance 72.50

Iwm is the strongest of the  indexes and has held up rather well. It is now forming a double top. 

XLF:  Support 19.80 Resistance 22.50

Nothing has really changed in the Xlf.  It is basically chopping around support and resistance.  Watch for a break above or below horizontal support or resistance.

Quote of the day:

“ The only way you get a real education in the market is to invest cash, track your trade, and study your mistakes”   Jesse Livermore….

Keep in mind the trend is your friend.  Have a great day and weekend!

 Keystone tech trader…





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