As we head into the middle of August, most traders are closing their August expiry Options positions, and looking for good trading opportunities for the September trading cycle.
At these points, it’s always a good idea to do a study on the SPY Chart, and see if we can get some sense of what the next 2 to 4 weeks may look like.
The SPY is a highly liquid broad-market Index ETF, in fact it’s the ultimate instrument to gauge broad market sentiment.
A Technical analysis review of the SPY Chart is below in the video.. A few points to note are –
1) We’re in somewhat of a “no-man’s land” right now
2) Bias is more to the downside
3) Volumes have dropped by 50% in the last month
4) Upside “fatigue” exists
SPY Chart analysis video
