Friday, November 13, 2009

S&P-500 hits the 500 dma

As I wrote last Sunday, watch for resistance on the S&P at the 500 dma(purple line on the chart). This week the S&P went up to the 500dma, and now is starting to pullback. The 500 dma is usually strong resistance or support, depending on where price is. I'm looking for a pullback to the 21dma(yellow on the chart) at 1071.