By John Pisanchik

The market dynamics have been breaking down this week with the S&P Cash index closing at 1036.19 which is below the 50 day average . There is a level of support just below this close, which if it does not hold, will open the way for the market to trade lower, at least to the 1000 level. The 1000 level is a support level and the market will probably chop a bit there. If we do get to that level, the probability is very high that the market will undergo a good sized correction as we continue through the last quarter of this year. Happy Trading.

By John Pisanchik
This past week was a choppy week, and when all was said and done, no new progress was achieved to the upside or downside in the S&P Cash Index. It closed at 1079.60. The resistance at the 1100 level is very strong and has held in now for a few weeks. The market should remain choppy for the near future and caution should be taken if the 1100 continues to be a stop to the upside. The longer it holds in, the more dangerous the market gets. Happy Trading.

By John Pisanchik

This week was consistent with the market’s behavior for the last few months. A slow, grinding move upwards. This is not what I would call a raging bull market, but it is a bull market just the same. There is enough skepticism out there for managers to short the market, and then eventually cover because it simply is not going down. Having said that, this week the market rallied, however slow, to just below 1100 in the S&P Cash Index. That served as a cap for now. On Friday the market took a bit of a spill but found support in the Sept 23, 2009 high of 1080.15 and closed at approximately the middle of it’s Friday range. Trend indicators are all still up, and except for the slowness of the market to move upwards, that trend should continue in the slow way it has been moving. The 1100 level is a large resistance level and may need a little time to negotiate that. So the market could be choppy in the early part of this coming week.

By John Pisanchik

This week the market had up days each day of the week. However, it did not break through the high of Sept 23. That high was 1080.15 on the S&P Cash Index. Because of where the market closed on Friday, we are very close to that high. It must deal with that level on Monday. If the the level holds, we are looking at a trading range being formed. If it breaks to the upside, than the rally should continue. Happy Trading.

By John Pisanchik

This week the market traded lower and broke some key support levels in the process. The market has gotten lackluster and risk to the downside is building. The S&P Cash index found support today at the 50 day moving average. If that average does not hold the market next week, it should begin to trade lower with an objective of 970. Coming into the 4th quarter of 2009, money managers may not want to risk losing the gains that they have seen recently, so that may start to put some additional pressure near term. Next week’s trading could get a bit sloppy at the very worst, and at the very least, it will be choppy, with very little follow through to the upside. Happy Trading and enjoy the weekend.