This is what I am looking at... Oil is breaking out and making a nice rise, but the Nasdaq-100 is lagging behind the $SPX. I am thinking some sector rotation into the energy plays is happening especially with the pressure on Iran right now. Obama is giving us a hint. He would not sit there and look like a fool...go back on his campaign promise...if there was not something big about to happen to oil. So I think that ES is going to pull back off of Friday's high pole because of sector rotation and then retest the diagonal... The SPY is heavily weighted with technology. If oil and natural gas are on the rebound along with the metals then you are going to have a rotation to the materials and energy sectors. A lot of money is going to flow from technology and then move into energy/materials on anticipation of Iran problems and Obama's little hint about oil going up these last few days...because of said rotation then you are going to have a pullback. The market is so heavily weighted in technology, healthcare and other such animals (but not Exxon or Chevron) that I am not sure if the market will rebound off that diagonal.
I did a little work on the XLE in the top corner. I found more times then not since it began trading that it ran from about March until June with a few exceptions and twists over the years. I know the conventional logic of triple leveraged etfs and the so called "decay", however, thats the one I would buy and hold right now. Take a step back from the screen. I think the XLF ten years from now will look just like the XLK to its side. The XLF was in a bubble just like the XLK. The XLF and the XLK are now wounded animals. It seemed as if they both rebounded pretty well, but they weren't in the grand scheme of things. They were simply bouncing after a big selloff. Right now I would avoid the SPY, avoid the ES, avoid tech/financials and move it into materials, resources and energy...dont touch solar though...HL, NG, PAL, SWC, RIG, HERO, BTU...
LOL, your thread is about SPX you moron, and now you tell everyone to stay away from ES or SPY? I am out of here, what a total retard. Losers average losers, what a true adage...
So how is all this working out for you? Usually not good to try and lead when you are dancing with a 2000 pound gorilla. In my humble opinion.
Check out how heavy that volume is: 118.64 +0.84‎ (0.72%‎ Apr 5 3:38pm ET Open: 118.25 High: 118.84 Low: 117.92 Volume: 86,760,384 Avg Vol: 174,440,000 Mkt Cap: 100.52B Disclaimer
Isn't that strange? The ES falls just far enough at the open to trigger your short trade, and then promptly reverses to close it the high, 7 points up. I wonder why that could be? Person to answer correctly wins a prize.
Selling short at a market high is a bit like having unprotected sex with a hooker - high risk, low reward ;-)