Thursday, July 29, 2010


Here is the long term weekly chart of $SPX.  I'm watching this critical downward channel.  If it holds, then we could see lows down to 925 or so.  If the $SPX can rise above the channel, we could see levels as high as 1140 or even 1220 by the end of August. 

My personal opinion is that we actually will break out above this channel and at that point I will add those emerging market stocks I've mentioned.  Until then, I will watch this trade.