Still Much Chop

**These are my thoughts on the SPY ETF in my Daily Trade Ideas which includes many, many more charts and setups. Subscribe to my nightly Daily Trade Ideas on the right to see the rest of this letter.**

“Keep away from people who try to belittle your ambitions. Small people always do that, but the really great makes you feel that you, too, can become great.” – Mark Twain

A strong day until late, when markets and stocks faded.

Things remain very choppy and volatile so I remain in cash.

We’ve got a long weekend ahead, already, with Martin Luther King Day Monday so it’s pretty risky holding anything over the long weekend so I think I’ll just stay in cash until at least Tuesday.

SPY January 15, 2016SPY bounced off the 187.50 support area strongly but this chart is not showing a pattern of a low at all yet.

Unless we move above 195 I’d not be keen on much here.

We could gap down huge overnight, or up for that matter, it’s a toss up.

Rips are being sold so it’s looking more and more like we will chop sideways to work off the overbought condition rather than bounce.

Looks like we will make our money mostly on the short side in 2016 but that can always change and I will change with it if it does.

Have a wonderful long weekend.

Warren

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