Monday, April 26, 2010

S&P500 Technical Analysis (04/26/2010)

S&P500 Technical Analysis Chart:
I give 5% chance for channel breakout to the upside. S&P should move lower to 1202 and bounce back up, I think there is 60% chance that we move lower and then shoot higher. If S&P500 break the channel and close below 1200, bulls are in trouble. I give about 35% chance of violation the uptrend channel. I have noticed many analysts talking about this channel recently, that is usually not a good sign. You should become a contrarian when things are getting too obvious. We well know Wall Street has a tendency to surprise average investors.