**These were my thoughts on the SPY ETF to subscribers in my Daily Trade Ideas which includes many, many more charts and setups if you subscribe**
“Money is only a tool. It will take you wherever you wish, but it will not replace you as the driver.” Ayn Rand
Not the day I was looking for with the TWTR IPO finally coming to market and many stocks rolling over.
Stops are so key and as a result we didn’t get hurt at all, in fact we just locked in gains which is nice.
It’s a tough market here with the trend looking to be lower all of a sudden but sharp spikes lower have been buying opportunities the rest of 2013 so it likely is again this time.
I’ll be looking to find a low and as soon as I see it I’ll mention it.
Let’s begin with the index charts and see if we can see where this correction may lead us.
SPY tried to breakout the last couple days but volume was low.
We were in, but today we got stopped out at cost.
No big deal and worth the try as long as you can really stick to your stops.
Volume increased today on the weakness and we broke under it’s flat channel which is not great.
If we can’t bounce off the 21 day here then chances are we could move back to test the $170 area.
We shall see how this correction plays out, ideally it would look like the one in early October and be very sharp and short-lived.
I’ll consider a short on a move under $174.
Enjoy the evening, Friday and weekend and stops! They really keep us out of trouble.