4th Sept 2010 – My 2cents Analysis…

BULL or BEAR ??

I am still short term Bull and long term Bear.

Short term	Long term

Coming week there is not much economic event:

• This might be good so that the index can stable down and we can figure out where the market is going.

SPY chart:

Input:

1. Things are getting interesting. SPY long term chart has punched thru the 20MA and 50MA.
2. It has also punched through the two red lines that I drew. The rally for this week is amazingly strong.
3. I expect this rally to at least last for another week. Watch out for the resistance at 114 and 115.
4. MACD is about to do the bullish crossing.
5. Volume only hit average scale.

DJIA chart:

Input:

1. Short term chart seems to be overbought. Careful for consolidation ahead.
2. Watch out for the two resistance lines at 10500 (much shorter term) and 10600 (much longer term)

VXX chart:

Input:

1. There is no indication that makes me Bearish towards the market.
2. Long term wise, pay very close attention to 18.00. Once it touches it the reverse can be catastrophic.