The first good news for the bulls are that SPY made what looks like a doji morning star reversal pattern (see on the left) and according to the encyclopedia of candlestick charts it has a 76% of success as a bullish reversal pattern. The second good news are that VIX issued a buy signal on the markets by closing yesterday above the bollinger band and today inside it, and this also is considered a pretty reliable sign. The third good news is that the daily trend line is still holding and if you read my weekend post you know how important that is. So in total the bulls should feel encouraged at least for another day and as long as today’s low holds I think they are safe.
The system closed today the 60 min short position it held with profit and opened a 60 min long position, for stop points you can look here
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