An Important Weekly SPY Chart
Truth is, the equity markets will be shut down again today, and some futures markets could be trade-able again today.
The markets will likely re-open on Wednesday, and we will do a regular update if they do open then.
A "market closed day" does NOT mean we can't share an important chart today ...
Below is a weekly chart of the SPY, the ETF representing the S&P 500. The S&P 500 is more important to Institutional Investors than the other indexes. Why? Because they regard it as the best proxy for the state of the economy going forward. Part of the reason is because of its Sector diversity casting a broad representation of U.S. economic conditions.
So, let's look at the weekly chart for the SPY. The chart makes it clear, that the SPY has been in an up trend since 2009.
Yes, it has been pulling back recently, but that has still been within the bounds of its up trending and its ascending wedge pattern.
So the good news is that it is still in an up trend. The not so good news is for sometime down the road ... and that is about the ascending wedge pattern. Historically, this is a bearish pattern that ends with a sharp down move. (FYI ... today's chart is an important update to last Wednesday's chart.)
For now, the trend is still in play and hopefully, hurricane Sandy doesn't end it.