Intraday Commentary ~ 2/26/09

3:23pm
Market might be breaking down here on the 61.8% retracement. I do expect some bounce, but once it’s broken, the market is deciding to basically shoot to new lows.

2:57pm
If you are playing a short as an intraday trade, i’d take profits at the 61.8% retracement, at 75.85$

2:43pm
Market testing intraday support, a break of that, will yeild a huge head and shoulders pattern with the peak at today’s and yesterday’s high and the right shoulder being the last hour of trading (using 5 minute chart SPY).

1:12pm
Market breaking that 3 day support that i showed you guys in my graph. However in order for the 60 minute inverse head and shoulders to fall apart we have to break teh 61.8% retracement of the day that the SPY went up 4%, it sits at 75.80$.

12:19pm
Possible head and shoulders forming on the SPY for the intrday. Can be best seen on the 1 minute SPY.

10:08am
I will have to step out for most of the day, but keep in mind that once this ascending support breaks, we ended with consolidation and are moving lower.
feb25spy 

9:30am
Market is opening 1% higher as new catalysts arrive for the bulls. Obama is proposing a fresh 750 billion dollars of aid to the financial industry. Government might buy a stake of 40% of citi. But lets not forget that jobless claims was still horrible and that once these catalysts die off, we’ll be back down in the weekly term. First resistance will be yesterdays high which is 78.30$ for a double top.

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Sun Tze is one of the founders of FocalEquity.com. After going through multiple transitions, Tze, Charlie Cheng and their new team are bringing new changes and features to the new FocalEquity.com in 2011. Tze is specialized in financial modeling and has a masters degree in Finance.