Aug 13 Market Recap - Week look back

Some respite sure, but what to expect going forward. Below is the hourly graph of SPX going back to June. Comparing the June 26 with our current dip there are definite parallels and the market view appears to be of a selloff to touch our green line support. We'll find out.

What is different, first we seem to have some support at SPX 1010, which is the higher low from the bottom 2009. We've stayed above the trendline for over a month and are a bit away from it at the moment (would require another big selloff to change that). Next I think the moving averages SMA 50 and 200 are way different this time around. So what I'd careful of is a bounce higher as the markets participants look for a dip. Something like the July 19 bounce. In case of a dip I'd watch for the trendline support for a reversal.