S&P SPDRs (AMEX: SPY) Reverse Off New Highs Says Market Timer Frank Kollar
May 29, 2007 (FinancialWire) (By Frank Kollar)
The exchange-traded fund S&P Depositary Receipts SPDRs (AMEX: SPY), which broke out to new rally highs on April 16th, came close to new all time highs last week. Will they make it?
On Wednesday, the SPDRs pushed to new all time highs in early morning trading, but quickly reversed when heavy selling entered the market, finally closing with a loss. The following day was a bearish distribution day for the stock market. Is this a reversal and the beginning of a new trend to the downside?
We would not bet on it. We discussed with our subscribers, last week, the likelihood of a pull back when new highs were reached. The entire stock market, but especially the S&P 500, has come a long way since early summer last year. But momentum is on the side of the bulls. The trend remains up and that is the direction to trade unless you are a day trader looking for very short-term trade setups.
Fibtimer.com (http://www.fibtimer.com) holds a position in SPDRS in its ETF Timer Portfolio.
Kollar’s research has shown that the financial markets are in tradable trends approximately 80 percent of the time. FibTimer strategies define trends and trade them in both advancing and declining markets. Caring nothing about what newscasters say or what the latest economic indicator predicts, trends are where the profits are, and that is where FibTimer is.
Kollar is editor and chief analyst at FibTimer.com (http://www.fibtimer.com) which offers market timing strategies for S&P and Nasdaq index fund traders, as well as bond, gold, small cap, sector, ETF and stock trading strategies.
Go to previous Press Releases & Trading Notes.
Note: These "Trading Notes" are short term in nature. They may or may not reflect the same position as current subscriber reports which typically have longer time frames.
© Copyright 1996-2007, Kollar Market Analytics, Inc., All Rights Reserved.
FibTimer reports may not be redistributed without permission. These Trading Notes however may be distributed without permission.
Disclaimer: The financial markets are risky. Investing is risky. Past performance
does not guarantee future performance. The foregoing has been prepared solely
for informational purposes and is not a solicitation, or an offer to buy or sell
any security. Opinions are based on historical research and data believed reliable,
but there is no guarantee that future results will be profitable. |
