The million dollar question (literally) is what direction will the market go? Are we indeed ready for that double dip or will the market continue to head higher?
If we based our decision just over the last couple of days, all signs would point to a higher market – unfortunately the chart of the S&P 500 tells us something different.
Both the RSI and MACD indicators are in bearish territory below 50 and 0 respectively, and most importantly, it looks like the resistance I considered at the 200-day moving average might hold as sellers took over once the market hit that spot.
Learn what these chart indicators and patterns are.
Ultimately we won’t really know what happens until the market moves, but what we will see over the next couple of days should give us a sign of what type of market to expect over the next couple of weeks.
Stay tuned.
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