Submitted by Mark Hanna
Courtesy of MarketMontage. View original post here.
Monday morning the market gapped up on Bernanke’s speech. The high on the SPY ETF Friday was 139.81. That flush down the index just experienced took SPY down to 139.73. Hence, the “Bernanke Gap” just filled.
Looking farther back the S&P 500 is currently below the 1404 level, and below the 10 day moving average which also is in the 1404 area. The 20 day is down at 1387. A break back above that 1404 at the end of the day would be a positive, and to not do so would be short term negative.
On a side note, Apple finally fell and took QQQ with it (-0.8%).
Disclosure Notice
Any securities mentioned on this page are not held by the author in his personal portfolio. Securities mentioned may or may not be held by the author in the mutual fund he manages, the Paladin Long Short Fund (PALFX). For a list of the aforementioned fund’s holdings at the end of the prior quarter, visit the Paladin Funds website at http://www.paladinfunds.com/holdings/blog
