SPY Wakes Up 91511

We have a possible buy opportunity signal on SPY. The chart would read “If today’s high for SPY is exceeded tomorrow, take a long position on SPY”. Buy Stop at 121.47. After 4 consecutive Up days now, I have also seen some buy signals pop up on AMD, SNDK, and AAPL etc earlier this week. I chose to ignore them because the overall market (SPY) was pointed down. Yet the thrust upwards was quite nice and each of the up signals would have resulted in positive trades. Perhaps the Up signal early in the week on the Nasdaq Q’s was a good indicator of the strengthening in the technology sector.

September can be a bearish month. Europe’s troubles are not over. The US has plenty of debt. Is it worth getting excited on the up side? Best thing to do is simply follow the signals and let the charts provide the direction.

For now we have possible buy opportunity on SPY. Once SPY is long, I would look to take long positions on a dip.