“SPY”ing on 4000:

I am well aware that this is a technology note but we will take a peak at the S&P 500 here as information tech is the largest weighting in the benchmark (the top 6 holdings are all tech comprising 22%). And the index completed a bullish island reversal pattern Tuesday and after a soft start decided to CLOSE well a hallmark positive trait. Keep in mind it is also finding support at its WEEKLY, upward sloping 50-day SMA. There is still plenty of work to be done with a plethora of overhead supply, but the short-term seasonality suggests this move could have some legs. The largest component in the major average is AAPL at roughly 7% and it is offering a good risk/reward situation as it recorded a bullish engulfing candle on Monday and those intraday lows should be considered your line in the sand. Another large holding in AMZN has the look of breaking ABOVE a bear flag here, although TSLA looks like it wants a date with the very round 200 number after 3 swift rough rejections at 300 this summer.

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